Binance CEO Instructs Team to Monitor In-flow from Hacked Exchange

Following an exploit on a derivative crypto exchange, Changpeng Zhao (CZ), the CEO of the largest crypto exchange, Binance, has asked his backend team to monitor and freeze funds from the attacked sources.

Asked our team to monitor and help freeze any funds that come to @Binance. Stay #SAFU. ? https://t.co/QkD0wQs77e

— CZ ? Binance (@cz_binance) November 2, 2022

As per the Twitter post, Deribit, a leading crypto Options and Futures exchange suffered an exploit on its hot wallet yesterday evening, with $28 million lost in the process.

The company posted about the development on Twitter today, noting that its customers’ funds were safe and covered by the company’s reserves. The report stated that the attack only affected the exchange’s Bitcoin (BTC), Ethereum (ETH), and USDC hot wallets. However, Deribit has halted customer withdrawals as part of an ongoing security check, affecting third-party custodians.

The firm reassured the crypto community that it remains financially sound and that the current issue will not impact its normal operations. A part of the report read:

Client assets, Fireblocks, or cold storage addresses are not affected. It’s company procedure to keep 99% of our user funds in cold storage to limit the impact of these types of events

Deribit joins a lengthy list of crypto businesses that have recently been the subject to hostile attacks. In the first two weeks of October, more than $718 million in thefts occurred, making it tentatively the worst month for crypto hacks this year. The Binance Chain bridge singularly suffered over half a billion dollars in exploitation after an attacker created one million units of BNB tokens out of thin air.

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