Binance, the world's largest cryptocurrency exchange, has suspended all deposits and withdrawals after what it described as a "potential security issue", in an incident that on-chain trackers say could become the biggest crypto theft on record.

The exchange said in updates on its official X account that the verified total of assets frozen so far stands at about $3 billion (around Sh387 billion), up from an earlier figure of $2.54 billion, and warned that "this figure may continue to increase" as it works with law enforcement agencies, stablecoin issuers and blockchain intelligence firms to trace the funds.

Binance has not confirmed how much was taken or how the breach happened. It insists that "user funds are completely safe" and has pledged that "Binance will cover all losses".

What we know

  • Suspension: Binance first paused withdrawals on several networks as a precaution, then temporarily suspended all deposits and withdrawals while security checks continue. Trading on Binance Alpha was also paused.
  • Frozen funds: Tether chief executive Paolo Ardoino said Tether froze more than 1.567 billion USDT "related to a potential Binance exchange hack", while Circle, which issues USDC, reportedly froze more than $800 million.
  • Scale: Estimates of the assets that moved out of Binance-linked wallets vary widely, from about $2.5 billion to more than $5.5 billion, depending on the analyst. Blockchain analytics firm Arkham Intelligence tracked 55 addresses holding about $5.78 billion, but that is the value of assets in those wallets, not a confirmed amount stolen.
  • Binance.US: The separate US platform said it was not affected.

'It does look like a hack'

Binance co-founder Changpeng Zhao, who no longer runs the exchange but remains its largest shareholder, said on X that the incident "does look like a hack on Binance". He added that, as a shareholder, he expects "all user funds will be fully covered". His comments are his personal view rather than an official company statement.

If the higher estimates are confirmed, the incident would far exceed the roughly $1.5 billion stolen from the Bybit exchange in February 2025, which is currently regarded as the largest crypto heist.

Markets react

The news weighed on crypto prices. Reuters reported that Bitcoin fell about 2 per cent to a six-week low of $77,646, while Ether slid about 2 per cent to a two-month low of $2,238.76.

What it means for Kenyan users

Binance is widely used by Kenyan crypto traders, including through its peer-to-peer marketplace where many buy and sell digital assets for shillings. With deposits and withdrawals suspended, users cannot move funds in or out of the platform until Binance lifts the freeze.

Binance has warned customers to watch out for scams that typically follow such incidents, and to ignore unofficial links, fake "recovery" offers and anyone asking for account details, passwords or verification codes. Updates should only be taken from Binance's official website, app and verified social media accounts.

What happens next

Key questions remain unanswered: how the attackers gained access, how much was actually stolen, how much of the frozen money can be recovered, and when normal service will resume. Binance says it will share only verified figures as its investigation continues.

HAMASTA MEDIA will update this story as more details emerge.

Photos: Aevozer / Wikimedia Commons (CC BY-SA 4.0); Satheesh Sankaran / Wikimedia Commons (CC BY 2.0); Binance logo. Thumbnail design: HAMASTA MEDIA. Sources: Binance, Tether, Reuters via ANI/The Tribune, Yahoo Finance, Finbold.