Exchange News

World’s most trusted exchange Binance faces hacking attacks

The famous virtual currency exchange Binance has suffered data breach most lately in which they have lost 7074 Bitcoins the worth of which is $40 million.  The report surfaced on 9th May.

The deposit that got hacked from the exchange hot wallet was moved to seven different addresses. As per the report, the firm has said the hackers had taken the API keys and much more information in the attack.

The hack took place at around 5:15 PM on 7th May, the hackers have drawn 7000 bitcoins from a single hot wallet of the exchange. The fund was then moved into smaller wallets later. The transparent nature of BTC blockchain made it easy to find out where the exchange fund was moving. But it was difficult to understand who created them.

According to Amy Castor, blockchain analyst, hackers are breaking the transactions into smaller wallets to erase the tracks.

The famous cryptocurrency exchange has confessed that about 2% of Bitcoin holding has got affected because of the hack. The hack that has occurred is the biggest in the entire history of cryptocurrency.

The breach that has happened was because of the transaction that had 44 outputs, and 21 of them were native SegWit address. All of these addresses hold the equivalent amount of Bitcoin; only one is the exception where 707.1 Bitcoins are kept. Of these two wallets have P2PKH address and hold approximately 1,060 bitcoins.

After the hacking attack the CEO of the exchange, Changpeng Zhao, has told, to meet with the situation they will use SAFU fund money. After the incident, the exchange has got huge support from the crypto society and peer exchanges. Some of the prominent exchanges including Coinbase has blacklisted those addresses involved in the attack so that they cannot transform the stolen cryptos to fiat money.

The co-founder of Tron, Justin Sun has also decided to support Binance in this challenging situation by depositing 7000 BTC worth USTD to buy a range of coins from the exchange.

Binance is one of the reliable crypto exchange on the planet. The hack has shaken the entire crypto industry. Crypto industry is facing major trouble from the hacking attacks since its inception. As per Ciphertrace, the blockchain intelligence company, the hackers have stolen almost $356 million from different exchanges and organizations in the initial three months of the present year.

About author


Earl Davison is a cryptocurrency enthusiast and believer. He has Master's degree in Economics and he is completely dedicated in analysis in cryptocurrencies since 2014. He leads our writers team to achieve user oriented content regarding cryptocurrencies and blockchain. He's also a crypto-trader.

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