NEW YORK / CryptoWire.AI / – Binance customers withdrew more than $4.6 billion from the cryptocurrency exchange after it suffered what security experts called the largest digital coin theft ever. Customers also deposited just over $1 billion after Binance let people resume transactions on Sunday, November 1, for Bitcoin, Ethereum and other cryptocurrencies. That left a net outflow of $3.64 billion. The withdrawals were processed between 06:00 and 15:30 UTC on Sunday.
Binance, the world’s largest cryptocurrency exchange with more than 300 million users, said the crypto withdrawn represents just 2.1% of its $171 billion in total assets. Founder Changpeng Zhao wrote on X that 98% of users chose to stay. Most of the net outflows happened within the first couple of hours after withdrawals reopened across 15 networks. Binance did not immediately respond to a request for comment, CBS News reported on Monday.
Binance cofounder Yi He said in an X post early Monday that the top priority is to ensure the environment is secure, after which users can withdraw their funds and Binance can resume operations. Binance has promised to cover the full losses using company funds. By early Sunday morning, it said it had covered around 95% of the impacted amount. The exchange is also working with law enforcement on the investigation.
FBI ties theft to TraderTraitor
The withdrawals followed the theft of $6.3 billion in digital currency by cybercriminals whom the FBI linked to North Korea. Roughly $3 billion of the stolen assets has been frozen, according to Binance. Freezing crypto funds lets certain issuers block the transfer of their tokens anywhere in the world. The attack began late on Thursday, October 29, and drained Binance wallets across 10 blockchains in about 20 minutes.
The FBI said on Saturday that the hacker group believed to be responsible, known as TraderTraitor, was converting most of the stolen assets into Ethereum to hide its tracks. TraderTraitor was also behind a February 2025 attack on the exchange Bybit that caused a $1.5 billion loss, according to the FBI. The bureau encouraged private-sector entities to block transactions with or derived from addresses the group is using to launder the funds.
Scam warning follows restart
Binance issued a scam warning to users on Monday, a day after it reopened withdrawals. Such warnings are common after major breaches, when fraudsters target worried customers with fake support messages or recovery offers. Authorities have also stepped up public alerts on online fraud, including an INTERPOL campaign on AI deepfake scams. Binance said securing its platform remains the priority before it fully restores operations. Users should verify any message through the official Binance app.
The heist is the largest crypto theft on record, about four times the size of the Bybit loss. Bitcoin fell to a six-week low after the attack, while shares of rival exchange Coinbase dropped. The net outflow shows how quickly users can move funds after a breach, even as Binance points to $171 billion in total assets. Investors are watching whether withdrawals stabilize as the exchange works to restore full service.