Binance Targets Full Withdrawal Resumption Next Week After $6.3bn Security Breach

Binance plans to restore withdrawals across all remaining cryptocurrency networks and assets by the end of next week, as the world's largest cryptocurrency exchange continues to normalize operations following a security breach that resulted in the theft of $6.3 billion last month.

The exchange said on Saturday that it had reopened withdrawals for 87 networks during the week and was working to restore access to the remaining services.

"This week, we reopened withdrawals for 87 networks. We will aim to reopen withdrawals for all remaining networks and assets by the end of next week," Binance said in a post on X.

The phased restoration began earlier this month after Binance said it had covered 95% of the $6.3 billion in tokens stolen during the attack. The company has pledged to reimburse affected customers in full, although the restoration of withdrawals remains an important step in returning its platform to normal operations.

The breach has drawn attention to the security risks facing cryptocurrency exchanges, particularly their exposure to sophisticated attacks targeting digital asset infrastructure. Experts have described the incident as the largest cryptocurrency theft on record.

The FBI and Binance have attributed the breach to North Korea, although Pyongyang has denied responsibility. Blockchain investigation firms have linked the operation to a North Korean hacking group known as TraderTraitor.

In its initial account of the incident, Binance described a multi-stage hacking operation that began in June and involved a series of security breaches before culminating in the theft on October 29.

The timeline indicates that the attackers spent several months executing the operation rather than carrying out a single intrusion. The exchange has not disclosed all the technical details of the breach, but its account points to a sustained attack that eventually enabled criminals to remove a substantial amount of digital assets.

The scale of the theft has raised questions about the security arrangements of major cryptocurrency platforms and the potential consequences for customers when exchanges lose control of assets held within their systems.

Unlike conventional banking institutions, cryptocurrency platforms operate in an environment where stolen tokens can be moved across blockchain networks, creating challenges for tracing and recovering funds. Investigators can monitor transactions on public blockchains, but identifying the individuals controlling wallets and preventing the movement of assets across different services can be difficult.

Binance's decision to restore withdrawals in stages indicates that the return to normal operations has involved more than simply reopening access to customer accounts. The company has had to address the security incident while managing the movement of funds across multiple networks and assets.

Its commitment to cover 95% of the stolen tokens is also key to maintaining customer confidence. The remaining restoration work will test the exchange's ability to resume normal services without exposing users to further operational or security risks.

The breach has also been followed by a change in Binance's finance leadership.

Chief financial officer Kaiser Ng left the company just over a week after the theft, ending more than five years at the exchange to pursue a new venture. He was replaced by Justin Yek, a longtime finance executive who most recently served as vice-president of finance at financial technology company Airwallex.

Binance has not indicated that Ng's departure was connected to the security breach. The timing, however, places the leadership change within a period of heightened scrutiny as the exchange works to restore services and reassure customers about the safety of their assets.

The company's ability to reimburse affected users and reopen the remaining withdrawal networks will be important measures of its operational recovery. The incident also adds to the pressure on cryptocurrency exchanges to demonstrate that their security controls can withstand attacks involving organised cybercriminal groups.

Binance's immediate objective is to complete the withdrawal restoration by its stated deadline. The longer-term challenge is rebuilding confidence in the safeguards protecting customer assets after a breach of unprecedented scale.