Binance reopens some withdrawals after $6.3 billion hack

Binance began restoring withdrawals for some cryptocurrencies on Sunday, three days after hackers stole more than $6 billion from wallets linked to the exchange. The phased reopening gives users access to selected assets while Binance checks affected systems and works to trace the stolen funds.

Withdrawals let customers move crypto from an exchange wallet to an outside wallet. Binance paused them after the October 29 theft, then reopened selected networks as security checks cleared. Trading and withdrawals are separate functions, and the company’s reported suspension concerned withdrawals.

Which withdrawals has Binance reopened?

Binance said it had restored withdrawals for Bitcoin, BNB, XRP, Dogecoin, Optimism and assets on Base, according to CBS News’ report on the phased reopening. It said it would restore more assets and networks as checks are completed. That means access depends on both the token and the network used to transfer it; a token may be available on one network while another route remains closed.

A withdrawal moves crypto out of Binance’s custody. The exchange processes the request, then a blockchain network records the transfer to the destination wallet. During a pause, customers may still see balances in their exchange accounts, but they cannot send those assets through the affected withdrawal route.

How did the theft happen, and how much was taken?

Binance said hackers took more than $6 billion, making the incident the largest crypto theft on record by dollar value, the Associated Press reported. Blockchain intelligence firm TRM said about $6.36 billion moved out of Binance wallets across 10 blockchains, with most of it transferred in roughly 20 minutes.

Binance said its initial investigation pointed to a compromised laptop, then found additional points of breach. Co-CEO Richard Teng said the exchange’s own hot wallet was affected. A hot wallet holds crypto online so it can support transactions; Binance says most customer assets are held in offline cold wallets and moved to hot wallets for withdrawals. The distinction is like keeping most cash in a locked vault and only a smaller amount at a counter, though both depend on secure access controls.

Who is tracing the stolen assets?

Binance is working with law enforcement, blockchain intelligence firms, token issuers and other exchanges to trace and recover the funds, Teng said. The AP reported that Binance had set aside more than $6.34 billion in company funds to cover the stolen assets and had worked with blockchain partners to freeze roughly $3 billion in affected assets.

Blockchain transactions are visible in public records, which can help investigators track where stolen tokens move. But tracing does not automatically return them: freezing or recovering assets depends on whether a service or token issuer can block them before they are moved or exchanged. Binance’s phased reopening shows that customers’ ability to withdraw also depends on the exchange validating each affected system and network.

Sources and documents

• CBS News’ report on the phased reopening — cbsnews.com
• Associated Press reported — apnews.com