AI Image
Crypto firms freeze more than $3bn in funds as Binance investigates potential hack
The Guardian • • general
Key Points:
- Binance is investigating a potential security breach, with its founder Changpeng Zhao acknowledging the incident appears to be a hack, though user funds are reportedly safe.
- Cryptocurrency firms, including stablecoin issuers Tether and Circle, have frozen approximately $3 billion in funds linked to the incident to prevent further losses.
- Circle and Tether froze over $800 million and $1.5 billion respectively in coordination with law enforcement to contain the potential impact of the hack.
- The price of bitcoin fell by 3.2% to below $79,000 following the news of the security issue at Binance.
- Zhao, who stepped down as Binance CEO in 2023 after a felony related to money laundering and was later pardoned, stated he expects all user funds to be fully covered despite no longer managing the company.
