Cryptocurrency exchange Binance said on Thursday it was investigating a “potential security issue” but insisted all customers’ money was safe after a series of high-profile transfers on the platform caught the attention of traders and the site’s founder speculated it could be due to a hack.
“Our teams are aware of reports of a potential security issue and are actively investigating. Please be assured that user funds are completely secure,” a Binance spokesperson said in a statement.
“Our security teams are reviewing all relevant information as a matter of urgency,” the spokesperson said, urging users to “remain cautious of scams.”
Binance is the world’s largest cryptocurrency trading platform by volume, with hundreds of thousands of users buying, selling and storing billions of dollars of digital currencies on the exchange.
Unlike traditional bank deposits, money held in accounts with companies like Binance is not government insured against loss, potentially leaving any repayment up to the discretion of individual exchanges.
Following Thursday’s reports, two major digital stablecoin issuers said they had taken steps to limit potential consequences if the Binance transfers were found to be the result of a hack attempt.
Tether has frozen more than $1.567 billion of its digital currency “linked to a potential hack of the Binance exchange,” CEO Paolo Ardoino said in an article on X.
Jeremy Allaire, CEO of stablecoin issuer Circle, said the company has also frozen assets and is coordinating with law enforcement on the issue.
“Circle is closely monitoring reports of a potential exploit involving Binance. In coordination with law enforcement, we have frozen over US$800 million associated with the incident and will continue to support the investigation,” he wrote, using shorthand for the company’s US coin, whose value is pegged to the dollar.
Binance’s sudden withdrawal, reported earlier by Bloomberg, came at a time when cybersecurity defenses around the world are on high alert over the possibility of new attacks facilitated by recent advances in artificial intelligence.
Digital currency has been the main target of hackers for years. In 2025, Coinbase revealed that thieves stole customers’ personal information and attempted to extort $20 million from the company. Coinbase refused to pay and offered a bounty for information leading to arrests.
Binance founder Changpeng Zhao said: “This looks like a Binance hack. »
“As a shareholder, I expect all user funds to be fully covered,” he wrote on X, asserting that user funds “are safe.”
Zhao resigned as CEO of Binance in 2023 and pleaded guilty to violating US anti-money laundering laws. President Donald Trump later granted him a full pardon.
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