Binance says it covered 90% of losses in cyberattack

ISTANBUL (AA) - Cryptocurrency exchange Binance announced that it had covered 90% of the losses from a cyberattack and was continuing purchases through market and over-the-counter (OTC) channels to cover the remaining amount.

In a statement, Binance noted that it had allocated more than $6.34 billion in company funds to compensate users affected by the attack.

Noting that approximately 80% of the affected amount had previously been covered, the statement said: “The coverage rate has now reached 90%.”

It said that losses involving Bitcoin (BTC), Ethereum (ETH), Tether (USDT), BNB, Solana (SOL), USD Coin (USDC), XRP, USD1, RLUSD and Zcash (ZEC) had been fully covered.

It added that the remaining 10% consisted of lower-liquidity tokens other than these 10 assets.

Binance said it would continue purchasing the affected tokens through market and over-the-counter channels until the coverage rate reached 100% for all tokens.

“Binance, not our users, will bear the financial burden of the stolen funds,” the statement said.

The company emphasized that its next priority was to resume users' withdrawal services, adding that it remained on track to reopen withdrawals on Nov. 1, in line with a previously announced schedule.

The statement also announced the publication of a new proof-of-reserves snapshot, enabling users to independently verify that their assets were backed at a minimum 1:1 ratio after a zero-knowledge proof was generated.

On Thursday, Binance said it was investigating reports of a potential security issue and assured users their funds were safe.

In a statement on Saturday, the company said the estimated scale of the security breach was $6.3 billion, adding that about $3 billion in assets had been frozen.

Esra Tekin