Binance attack: $6 billion theft suspected, with North Korean involvement

A cyberattack on Binance has resulted in losses of $6.3 billion for the cryptocurrency giant.

The company has temporarily suspended deposits and withdrawals. According to preliminary investigation findings, the attackers carried out unauthorized transactions after gaining access to a compromised laptop belonging to a Binance engineer.

The world’s largest cryptocurrency trading platform confirmed the incident, which could be the biggest theft in the history of the market. Binance suspects that North Korean state-sponsored hackers were behind the attack. Around $3 billion has been frozen.

Binance said it would cover all losses and assured users that their funds were not at risk.

“Our teams are working around the clock to resolve this matter safely and thoroughly,” the company said in a statement provided to Qatar-based television network Al Jazeera.

The company also announced that it was working closely with law enforcement authorities to identify those responsible and bring them to justice. After the investigation is concluded, Binance said it would publish a detailed technical report on how the attack was carried out.

Meanwhile, blockchain intelligence firm TRM assessed with “high confidence” that the attack was carried out by the TraderTraitor hacker unit, which is linked to North Korea and the notorious Lazarus group.

The unprecedented incident is being seen as a turning point for security in the cryptocurrency market. The stolen funds could be used for weapons programs and other destabilizing activities, turning the matter from a financial crime into a global security concern.

The news triggered immediate reactions in cryptocurrency markets. Bitcoin, the world’s most widely used digital currency, lost around 5 percent of its value and fell below $77,000.