Binance sees $3.64B net outflows as withdrawals resume

Binance customers withdrew about $3.64 billion more than they deposited on Sunday, November 1, as the world's largest cryptocurrency exchange reopened withdrawals in phases. The reopening came three days after hackers stole $6.3 billion, a theft the FBI has linked to North Korea. According to Reuters, the exchange said withdrawals were stabilizing after an initial spike and that it had now covered 95% of the stolen assets. The withdrawal numbers are an early test of whether customers still trust the platform after what may be the largest crypto theft on record.ca.marketscreener.com

Billions flow out in hours

Binance said it processed more than $4.64 billion in withdrawals and $1.01 billion in deposits between 0600 and 1530 GMT. The net outflow equaled 2.1% of its $171 billion in assets under management, the exchange said in a post on X reported by Reuters. "Withdrawal volumes have declined and are stabilising as expected, while deposit volumes have remained substantial," Binance said. The New York Times described the reopening as an effort to reassure users after all withdrawals were suspended following the breach.nytimes.com+1

All 15 networks and assets in the first phase were restored by 12:36 UTC, Bitcoin.com News reported. Those included Bitcoin ↘ 0.90%, Ether Ethereum ↘ 0.82%, Dogecoin ↘ 1.34% and versions of the USDT Tether and USDC USD Coin stablecoins. Other assets, such as Cardano and Litecoin, were still being tested, according to The Block.theblock.co+1

Third-party trackers put the losses higher. DefiLlama's dashboard showed outflows of $4.36 billion, but a Binance spokesperson said that figure missed funds the exchange had moved into its own new hot wallet and was "not accurate," Reuters reported.ca.marketscreener.com

Covering the losses

Binance said it had replaced about $6 billion of the stolen tokens by buying them with company money. That money came from its $1 billion Secure Asset Fund for Users, its futures insurance fund and its corporate treasury. The remaining 5% consists of less liquid tokens that may take longer to source, the exchange said, per Reuters. An updated proof-of-reserves report, based on an October 31 snapshot, is expected on Monday, November 2, The Block reported.theblock.co+1

North Korea link

On Saturday, the FBI said a North Korean state-sponsored unit known as TraderTraitor carried out the attack. Investigators saw stolen assets being converted into ether and expect "further laundering." Most of the theft took place in about 20 minutes late on Thursday, October 29, Reuters reported. President Donald Trump said it was still unclear whether North Korea was involved. "We don't know if it's North Korea — but if it is, we'll talk to North Korea about it," he told reporters.ca.marketscreener.com