PHASED WITHDRAWALS
Binance said on Sunday it had covered US$6 billion of stolen cryptocurrencies by using its money to buy replacement tokens. The remaining 5 per cent of stolen tokens consist of less liquid assets and may take longer to source, it said.
Despite those measures, some users were weighing options to hedge risks.
Jay Koh, vice president at the Asia Web3 AI Association, said he had not withdrawn any of his holdings from Binance, as most of his funds were held in a cold wallet, which was not impacted by the hack.
“I would not necessarily withdraw everything from Binance … However, I do think it is prudent to review exposure, diversify custody arrangements and avoid keeping more assets on any single platform than necessary.”
Binance, which was founded in China, said the rollout for withdrawals would be carried out in stages, prioritising user demand. The first phase covered 15 tokens including bitcoin, ether and those involving some USDC and USDT stablecoins and dogecoin.
“We are taking a phased approach by prioritizing tokens based on the past week data of user demand,” Binance said in an earlier article posted on X.
It added, “Rest assured that market conditions are stable.”
Binance said the net outflows reflected what clients had withdrawn and deposited after the event.
Crypto analytics platform DefiLlama said on its dashboardthat outflows were higher, at US$5.81 billion, up from the US$4.36 billion it showed earlier. Binance did not immediately respond to a request for comment on the updated figures.
“This figure does not contain the flows we have deposited to our own new hot wallet, so they are not accurate. Our last update on X is closest to accurate (outstanding the moves in both deposits and withdrawals since it was posted),” a spokesperson for Binance said of the initial DefiLlama data.
