Binance to Suffer Hacker Attack

Over $40M worth Bitcoins were stolen, exchange states it will use the SAFU fund to cover the incident and no user funds will be affected
08 May 2019   269

Binance cryptocurrency exchange reported a loss of 7000 BTC ($ 40.5 million) due to a hacker attack.

According to representatives of Binance, yesterday, May 7, a “a large scale security breach today” of the marketplace was discovered.

Hackers were able to obtain a large number of user API keys, 2FA codes, and potentially other info. The hackers used a variety of techniques, including phishing, viruses and other attacks. We are still concluding all possible methods used. There may also be additional affected accounts that have not been identified yet.

Binance Team

The company also stressed that hackers managed to access only the “hot” wallet, which kept about 2% of the funds. A total of 7,000 BTC were stolen.

Binance will use the #SAFU fund to cover this incident in full. No user funds will be affected.

Binance Team

#SAFU fund was created in the middle of last year, to which the exchange sends 10% of the total volume of trade commissions.

Currently, the exchange is going to conduct a comprehensive security audit, which, according to preliminary estimates, can take about a week. During this time, I / O funds will be unavailable, but trade will continue as usual.

Yesterday, May 7, shortly before the appearance of information about the attack, Binance suspended the deposit\withdrawal for all assets represented on the platform. The head of the exchange Changpeng Zhao wrote about the need for unscheduled maintenance

During the AMA session, Changphen Zhao discussed “with various parties”, including the developer of Bitcoin Core Jeremy Rubin and the founder of Bitmain Jihan Wu, the possibility of reorganizing the Bitcoin network to return 7000 BTC. This option was rejected.

BTC Invesment Profitability to Exceed Traditional Assets

This conclusion was made by Binance Research team in study "What Bear Market?"; since begining of the year the BTC has grown by more than 50%, while oil by 33%
08 May 2019   321

Since the beginning of the year, Bitcoin has grown faster than traditional market assets, including oil, technology companies, real estate and gold. This conclusion was made by Binance Research in the new study "What Bear Market?"

Since the beginning of the year, the price of Bitcoin has grown by more than 50%, while oil - by 33%, tech stocks - by 18%. The price of gold in five months slipped by 1%.

Recently, however, some factors have emerged that may put pressure on the price of Bitcoin. Thus, the recovery of BTC growth slowed down somewhat amid news of a hacker attack on the popular Binance exchange itself, as a result of which 7,000 BTC ($ 40.5 million) were stolen.

Another potentially negative factor for the price of Bitcoin could be the upcoming IEO of the Bitfinex exchange, where Tether stablecoins will be used to purchase LEO tokens for $ 1 billion. It can lead to situation when large players can may actively sell BTC.