Binance freezes withdrawals after hack drains billions in crypto

The exchange said a security incident forced a freeze of $2.54 billion in assets as hackers siphoned billions from hot wallets.

By Felo News Desk · Published Fri, 30 Oct 2026 02:52:45 GMT

Binance announced a security incident on Thursday, freezing withdrawals after a hack that reportedly drained hot wallets of more than $5.7 billion in cryptocurrency, according to the exchange’s official X account.

What happened

At 5:15 p.m. ET (2:15 p.m. PT) the Binance X account posted that a potential security issue was being investigated, prompting the exchange to suspend withdrawals on multiple networks. The hack allegedly moved $1.77 billion in Tether, $1.44 billion in Bitcoin and $1.01 billion in Ether to an unknown wallet. Binance later said a total of $2.54 billion had been frozen, a figure that could change as assets are traced.

What the reports add

Mashable reported that the hack coincided with stablecoin freezes by Tether and Circle Group, which locked $971 million in Tether and $823 million in USD Coin respectively. TechCrunch noted that Circle froze about $800 million in Tether, and that the breach was reported hours after Binance founder Changpeng Zhao posted on X that the company had likely been hacked.

What was said

Binance said in a statement to TechCrunch, "Our security teams are reviewing all relevant information with urgency, and we will provide updates through official Binance channels as soon as we have verified information." The same statement warned users to avoid scams and unofficial links. Binance spokesperson Ross O’Leary told TechCrunch that withdrawals were "temporarily suspended on multiple networks following a security incident as a precautionary measure." Changpeng Zhao, Binance’s founder and largest shareholder, posted on X that he expects users’ funds to be "fully covered," though he offered no further explanation.

How it came about

Earlier this year, Binance faced a DOJ probe over alleged Iran sanctions violations, as detailed in Felo’s October 22 article. The exchange has also been linked to broader industry security concerns, such as the North Korean‑attributed $351 million Bitget theft covered in Felo’s September 25 report. These prior incidents highlight the heightened scrutiny of crypto exchanges ahead of the current breach.

Key facts

Binance froze withdrawals after a hack that allegedly drained over $5.7 billion from hot wallets (mashable.com)
The hack moved $1.77 billion in Tether, $1.44 billion in Bitcoin and $1.01 billion in Ether to an unknown wallet (mashable.com)
Binance said $2.54 billion of assets have been frozen pending investigation (mashable.com)
Circle froze about $800 million in Tether following the incident (techcrunch.com)
Founder Changpeng Zhao said users’ funds will be fully covered (techcrunch.com)