The cryptocurrency exchange Binance mobilized an urgent and wide-reaching response Thursday to what it called a “security issue,” after a series of very large transfers on the platform raised fears that it had been hacked.
“All deposits and withdrawals are temporarily suspended while our team conducts security checks, freezes funds, and works with law enforcement,” Binance said in a statement on X.
“This is an industry-wide effort, and we are grateful to partners across the ecosystem who have moved quickly to help freeze affected assets.”
If the funds that were identified Thursday have been stolen, it would most likely be the largest crypto heist in history.
The company also pledged to “cover all losses.”
Binance is the world’s largest cryptocurrency trading platform by volume, with hundreds of thousands of users who buy, sell and store billions of dollars’ worth of digital currencies on the exchange.
Unlike traditional bank deposits, funds kept in accounts with companies like Binance are not automatically insured against losses, potentially leaving any refunds up to the discretion of individual exchanges.
In addition to the halted trades, the company said billions of dollars of digital funds had been frozen.
“This figure may continue to increase as our teams work closely with law enforcement, issuers, blockchain intelligence firms and industry partners to trace and freeze additional assets,” Binance said.
The statements underscored how complex and multilayered the security response has become to the potential breach.
As word of the apparent hack spread Thursday, major cryptocurrencies traded lower. Bitcoin was down about 4.3%, while Ethereum lost 4.6% of its value.
In the wake of Thursday’s reports, two major digital stablecoin issuers said they had taken steps to limit potential fallout if the Binance transfers turn out to be the result of a hacking attempt.
Tether froze more than $1.567 billion worth of its digital currency, CEO Paolo Ardoino said on X.
Jeremy Allaire, CEO of stablecoin issuer Circle, said the company had also frozen hundreds of millions of dollars of assets and was coordinating with law enforcement.
The suspected breach of Binance, which was reported earlier by Bloomberg, occurs at a moment when cybersecurity defenses around the world are on high alert about the possibility of novel attacks facilitated by recent advances in artificial intelligence.
Digital currency has been a primary target of hackers for years. In 2025, Coinbase disclosed that thieves had stolen customers’ personal information and attempted to extort the company for $20 million. Coinbase refused to pay and offered a bounty for information leading to arrests instead.
Binance’s founder, Changpeng Zhao, said, “As a shareholder, I expect all user funds will be fully covered.”
Zhao stepped down as the CEO of Binance in 2023 and pleaded guilty to breaking U.S. anti-money-laundering laws. President Donald Trump later granted him a full pardon.