Withdrawal Activity at Binance Hits $5.8B Following Massive Security Breach
The cryptocurrency exchange witnessed $5.8 billion in net withdrawals during a 24-hour period after restoring withdrawal services in the wake of a $6.3 billion security breach, with the platform reporting signs of stabilization.
According to information from DefiLlama, the cryptocurrency exchange Binance has experienced $5.8 billion in net withdrawals during the last 24-hour period as users moved their assets off the platform in the aftermath of a record-breaking $6.3 billion hack targeting the exchange.
According to Binance's announcement, the platform commenced the restoration of withdrawal functionality at 6:00 UTC on Sunday. As of 3:30 UTC, the exchange had completed the processing of $4.6 billion worth of withdrawals while receiving $1 billion in deposits, creating a net outflow totaling $3.6 billion.
Additional information obtained from DefiLlama indicated that $5.8 billion in net outflows occurred during the prior 24-hour timeframe, demonstrating that assets were continuously departing from the exchange following its first status update.
According to Binance's statement, withdrawal requests experienced an initial spike but have subsequently decreased and are showing signs of stabilization. The platform emphasized that these outflows constituted only a minor fraction of the roughly $171 billion in total assets under its custody. Cointelegraph attempted to contact Binance for additional commentary but had not received a response at the time of publication.
The withdrawal activity provided an initial indication of user trust in the aftermath of the $6.3 billion security breach affecting Binance, which stands as the most significant cryptocurrency theft in history.
In Binance's most recent status update posted at 12:36 UTC, the platform confirmed it had activated withdrawal capabilities for digital assets across 15 different networks, encompassing Bitcoin, Ethereum, BNB Smart Chain and XRP Ledger, while indicating that restoration efforts for additional assets and networks would proceed in stages.
Initial information released by Binance indicates that the majority of withdrawal activity involved USDt (USDT), with USDC (USDC) and Bitcoin (BTC) following as the second and third most withdrawn assets.
Binance announced on Saturday that it had successfully replenished 90% of the digital assets that were stolen during the $6.3 billion hack by utilizing resources from its corporate treasury, its Secure Asset Fund for Users and its futures insurance fund.