Key Takeaways
- • Binance said it has completed covering all assets affected by a cyberattack attributed by the FBI to North Korea-linked hackers, committing more than $6.34 billion in company funds to make up the losses.
- • Binance used its Secure Asset Fund for Users (SAFU), futures insurance fund and corporate treasury, acquiring affected cryptocurrencies through market and over-the-counter transactions.
- • Binance has committed to replenishing SAFU to approximately $1 billion as an emergency user-protection reserve.
- • The FBI attributed the October 29 theft to the North Korean hacking group TraderTraitor and warned that the stolen assets could be laundered through DeFi platforms and exchange services.
- • North Korea's Kim Yo-jong rejected the FBI findings as a "grave political provocation," while the U.S. State Department reiterated concerns about North Korea's use of cybercrime to fund weapons programs.
Summary
Global cryptocurrency exchange Binance said Thursday that it has completed covering assets affected by a massive cyberattack blamed on North Korea, after committing more than $6.34 billion in company funds to offset the losses, according to a statement posted on its website. "Binance has completed coverage of assets impacted in the security incident," the company said.
The exchange said it drew on its Secure Asset Fund for Users (SAFU), its futures insurance fund and corporate treasury, while acquiring the affected cryptocurrencies through market and over-the-counter transactions. Binance has committed to replenishing SAFU to roughly $1 billion, which it described as an emergency user-protection reserve that will remain fully resourced.
The announcement follows an October 29 cyberattack in which hackers allegedly linked to North Korea stole more than $6 billion in digital assets from Binance. The U.S. Federal Bureau of Investigation (FBI) attributed the theft to TraderTraitor, a North Korean hacking group, and warned that the stolen assets could be laundered through decentralized finance platforms and cryptocurrency exchange services.
Kim Yo-jong, sister of North Korean leader Kim Jong-un, earlier this month rejected the FBI's findings, calling them a "grave political provocation" against Pyongyang. The U.S. State Department reiterated concern over North Korea's use of cybercrime to finance its weapons programs, describing the problem as a global one affecting companies and jurisdictions worldwide.
The exchange said it drew on its Secure Asset Fund for Users (SAFU), its futures insurance fund and corporate treasury, while acquiring the affected cryptocurrencies through market and over-the-counter transactions. Binance has committed to replenishing SAFU to roughly $1 billion, which it described as an emergency user-protection reserve that will remain fully resourced.
The announcement follows an October 29 cyberattack in which hackers allegedly linked to North Korea stole more than $6 billion in digital assets from Binance. The U.S. Federal Bureau of Investigation (FBI) attributed the theft to TraderTraitor, a North Korean hacking group, and warned that the stolen assets could be laundered through decentralized finance platforms and cryptocurrency exchange services.
Kim Yo-jong, sister of North Korean leader Kim Jong-un, earlier this month rejected the FBI's findings, calling them a "grave political provocation" against Pyongyang. The U.S. State Department reiterated concern over North Korea's use of cybercrime to finance its weapons programs, describing the problem as a global one affecting companies and jurisdictions worldwide.
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