Overview
- Binance announced on Thursday that it has completed replacement of assets taken in the Oct. 29 attack by deploying more than $6.34 billion of company funds to buy replacement tokens.
- The Nov. 12 proof-of-reserves snapshot covers 198 tokens but the accompanying zero-knowledge proof that would let users independently confirm 1:1 backing is still being generated and was estimated to take about 40–60 hours.
- Binance said it funded the buys from three sources: the Secure Asset Fund for Users (SAFU), a portion of its futures insurance fund above required levels, and its corporate treasury, and it plans to restore SAFU to roughly $1 billion.
- U.S. authorities and blockchain firms have attributed the theft to a North Korea-linked group called TraderTraitor and have frozen or intercepted roughly $2.7–3.1 billion, though many stolen coins remain in complex cross-chain flows.
- The incident exposed failures in developer-device security and internal wallet signing processes, and regulators note proof-of-reserves snapshots show on-chain balances at a moment in time but are not a substitute for full financial audits or proof of liabilities.