In brief
Binance reported a security incident on 31 Oct 2026 that led to a $3 billion freeze and temporary withdrawal stop. The exchange has set aside over $6.34 billion in reserves and will cover any user losses while working with law‑enforcement and blockchain partners to recover lost tokens. It will release a full post‑mortem and updated proof‑of‑reserves once the investigation is complete.
Binance, the world's largest cryptocurrency exchange, announced a security incident on Saturday, 31 October that forced the platform to freeze about $3 billion in assets and suspend withdrawals.
The company said it has set aside more than $6.34 billion in reserves, including its Secure Asset Fund for Users, to offset any impact on customers. Roughly $5 billion of these reserves are held in the affected token assets.
Your funds are safe; Binance is covering the impact of this incident, not you.
Binance said in a statement to users that its initial investigation found no evidence of wallet private key leaks and that customer deposits and general trading activity remain unaffected.
The exchange is collaborating with law‑enforcement agencies, token issuers, blockchain‑intelligence firms and industry partners to trace and recover the affected assets. Around $3 billion in funds has already been frozen on‑chain through cooperation with blockchain partners.
As a precaution, Binance temporarily suspended withdrawals while conducting a security overhaul of its withdrawal services and associated addresses. It revoked authorizations on affected addresses and engaged law enforcement to pursue the perpetrators.
Binance will provide updates on the restoration of withdrawal services, publish a comprehensive technical post‑mortem report once the investigation concludes, and release an updated proof‑of‑reserves report to verify user balances.
