Binance Freezes $2.5 Billion: Cyberattack Disrupts Global Exchange Operations

Binance suspended all deposit and withdrawal functions at 00:30 GMT on Friday to contain the impact of a confirmed cyberattack. The exchange froze $2.5 billion in funds as it coordinated with police and security teams to secure the platform.

The incident occurred after industry observers reported that hackers had accessed the system hours before Binance issued its official confirmation. The breach triggered an immediate decline in the prices of major cryptocurrencies, including Bitcoin. Blockchain analysis firm Chainalysis initially estimated the total value of affected assets at $5.912 billion.

Paolo Ardoino, the chief executive officer of Tether, stated that his company froze approximately $1.6 billion in assets linked to the Binance incident. Changpeng Zhao, the former director of Binance, described the event as a cyberattack on the platform. Both the exchange and industry analysts have not yet detailed the specific method used by the intruders.

Binance assured users that their funds remain completely secure. The company stated it would cover all losses in the event of any impact on customer assets. Security controls are currently being conducted while the team works to track and freeze additional assets.

The exchange noted that the total amount of frozen funds may increase. This figure is expected to grow as Binance collaborates with law enforcement, token issuers, blockchain intelligence firms, and sector partners. These groups are working to trace the movement of the compromised assets.