After a $6.34 billion hacker attack, Binance received support from Celler, stating that it will use its own funds to compensate customers for their assets.

Strategy Executive Chairman Michael Saylor expressed support for Binance's commitment to "protecting customers from losses" after the exchange suffered a $6.3 billion hacker attack. The exchange has set aside over $6.34 billion in company funds to replace the affected assets.

• Seller supports Binance's compensation commitment and indicates that he expects the exchange to fulfill its promise.
• Binance stated that $5 billion of its reserved funds already exactly matches the types of affected cryptocurrencies.
• During the exchange's system upgrade, withdrawals will still be suspended, while recharges will continue to function as normal.
• Investigators have traced the stolen assets across 10 blockchain networks and linked this attack to North Korea.

In a post published on platform X on October 30th, Sailer cited Binance's latest asset recovery announcement and expressed confidence that Binance would be able to fulfill its commitments.

He wrote, "Binance has promised to use its own balance sheet to protect customers from losses. I expect it to keep that promise."

"Our industry will learn from this incident, strengthen our security measures, and become stronger and more resilient."

However, his statement was merely in support of Binance's response measures; he did not announce that Strategy would provide financial support, nor did he clarify its risk exposure to Binance.

Binance has reserved funds to replace the affected tokens.

According to the update on Binance's recovery progress, the company has reserved over $6.34 billion in funds to deal with this incident. Of this amount, $5 billion is already held in the same form of cryptocurrency that was affected by this attack.

The exchange stated that it is purchasing the remaining tokens through market trading and over-the-counter trading channels in order to match the missing assets and cover the shortfall.

Anbin explained that due to the limited liquidity of some tokens, some purchases may take longer, and over-the-counter transactions also require time to complete delivery.

As previously reported by crypto.news, the exchange has begun to repurchase the stolen altcoins. Co-founder He Yi stated that Binance can utilize its holdings of Bitcoin and Ethereum, as well as resources from its "User Safety Asset Fund."

The company has not disclosed how many bitcoins or Ethereum it will sell to finance these purchases, nor has it announced the specific quantities of each token purchased or the transaction prices.

Frozen assets are calculated separately from replacement funds.

Binance stated that its company's provisions do not include frozen or protected assets, which still need to be recovered and verified. The latest disclosure by the exchange indicates that the total amount of frozen assets is approximately $3 billion.

The announcement described two parallel efforts: one is to use company resources to purchase replacement assets, and the other is to cooperate with authorities and industry partners to recover the affected funds.

Binance stated that it will continue to use its own resources to cover the confirmed shortfall and provide further updates as the recovery process progresses. Customers' positions will ultimately be publicly verified through their reserve certification reports.

The distinction between frozen funds and funds that have been recovered is still part of their accounting treatment. Binance does not describe the entire frozen balance as funds that have been returned to customers.

Meanwhile, Anbin's updated security announcement states that recharges are currently functioning normally. Withdrawals are still on hold until the security checks are completed and the adjustments to the withdrawal service are finished.

An official service update indicates that the expected recovery time is within 48 hours. Binance promises to release a detailed technical review report after the investigation clarifies the facts.

Investigators traced this attack across 10 blockchain networks.

In the preliminary investigation results, Binance identified a laptop of an engineer with the identifier DevOps that had been compromised as a possible entry point for the attack. The exchange stated that the attackers may have used this to access an internal service container and conducted unauthorized withdrawal transactions.

Binance stated that no evidence of wallet private key leakage was found, and the authorization for the affected addresses has been revoked.

Blockchain intelligence firm TRM Labs has separately tracked that approximately $6.36 billion in assets have flowed out of Binance wallets, involving 10 networks. The valuation is calculated based on the price of the corresponding assets at the time of each transfer.

The company stated that most of the transfers occurred within about 20 minutes after 20:05 on October 29th ( UTC ). Among them, Ethereum accounted for approximately $3.79 billion, followed by Bitcoin at $1.47 billion, and Tron at $628 million.

TRM indicates that, based on both on-chain and off-chain intelligence, there is a 'high degree of confidence' that this action was carried out by North Korea's TraderTraitor organization. Binance has not yet confirmed the identity of the attackers.

Previous reports attributing this to North Korea also included the discovery of Blockaid. Investigators from that organization reviewed the Ethereum authorization records used to gain control of a hot wallet at Binance.

Before withdrawing assets from the wallet, the attacker had pre-prepared a transaction.

According to the analysis of Arkham, a wallet received funds from Tornado Cash on October 28th. The following day, the attacker tested the code on two wallets and conducted a drill on a third wallet.

Arkham traced a transaction that contained 50 authorizations, targeting “Binance 14”. 3 minutes and 24 seconds later, a separate transfer moved 64 different tokens, worth 2.53 billion US dollars.

The snapshot published shows that 18,270.2 bitcoins were distributed across 19 addresses, and these bitcoin holdings have not been moved since 20:48 on October 29th ( UTC ).