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.
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.
#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
Have to perform some unscheduled server maintenance that will impact deposits and withdrawals for a couple hours. No need to FUD. Funds are #safu.
— CZ Binance (@cz_binance) May 7, 2019
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.