$6.3-Billion Binance Crypto Hack: What We Know So Far

World's largest cryptocurrency exchange Binance was hit by hackers today, who stole $6.3 billion from the platform in the biggest crypto heist in history.

Confirming the incident, Binance said that it was working to resolve a "complex attack".

"This was a complex attack, and we are doing all we can in coordination with law enforcement to resolve it," Binance wrote on X.

It warned that the $6.3 billion figure may "continue to increase as our teams work closely with law enforcement, issuers, blockchain intelligence firms and industry partners to trace and freeze additional assets."

Here is what we know so far:

What Happened?

Around $6.3 billion worth of cryptocurrencies were stolen from wallets that Binance uses to process transactions, the exchange said. In a statement, Binance said it first believed the attack happened due to a compromised laptop.

"However, our subsequent investigation has uncovered additional points of breach," it added.

READ | North Korea Suspected Of Pulling Off Biggest Crypto Heist Worth $6.3 Billion

How Did Hackers Steal The Money?

The global centralised exchange of Binance, Binance.com, was compromised during the hack. Binance.us, which is meant for US users, was not affected, it said.

The exchange further said that the compromised laptop "gave an attacker access to a service container, where they submitted unauthorised withdrawal transactions."

Richard Teng, Binance's co-chief executive officer, described it as a "complex attack process".

According to US blockchain analytics firm TRM Labs, the attackers compromised Binance's "signing infrastructure", which authorizes transactions, allowing them to issue instructions that emptied the affected wallets.

The bulk of the heist unfolded in about 20 minutes, blockchain records show, beginning shortly after 2000 GMT on Thursday.

Once the funds were moved, the attackers raced to shift them beyond the reach of Binance counterparties and stablecoin issuers, which have frozen roughly half of the stolen assets.

READ | $6.3 Billion From Binance Funds Gone In Biggest Crypto Cyberattack

Who Did It?

No confirmation from Binance or any other authority has come regarding who is behind this hacking. However, a US-based blockchain intelligence firm says a North Korean unit was likely behind the hack.

TRM, in a post on its website on Thursday, attributed the attack to TraderTraitor, which it said was one of North Korea's elite hacking unit. "We make this judgment with high confidence," the firm said.

Blockchain analysis company Chainalysis also believed the Binance hack was "likely done by DPRK (North Korea) group TraderTraitor," its co-founder and CEO Jonathan Levin wrote on X.

What Will Happen To Binance Users?

Binance said on Friday it has reserved more than $6.34 billion in company funds, including $5 billion already held in impacted token assets, to deal with the fallout of the attack.

In an earlier statement, Teng said Binance users' funds are safe. The platform also suspended all withdrawals and deposits temporarily as part of a safety measure.

Binance said it was working with its partners to freeze assets worth $3 billion, which have been located so far.

That doesn't mean the coins will be returned to Binance, but it significantly limits the attackers' ability to convert them into cash.

"We are still on track towards the expected timeline to resume the withdrawal service in 45 hours," Binance said.