Crypto markets plunge as Binance freezes billions
6.8 Security Crypto prices plunged after Binance froze $2.5B+ in assets amid a security probe. Bitcoin, ether, and BNB dropped sharply, with large outflows and liquidations across multiple blockchains.
Cryptocurrency markets saw sharp declines after reports emerged of a potential security issue at Binance. The exchange froze over $2.5 billion in assets while investigating large, unexplained transfers from Binance-linked wallets. Bitcoin dropped to a six-week low of $77,646, ether fell to a two-month low of $2,238.76, and BNB declined more than 8% to $694. On-chain trackers reported outflows totaling up to $2.77 billion across five blockchains, involving more than 60 tokens. Some transfers were potentially linked to Tornado Cash. Tether and Circle froze $1.57 billion and $823 million, respectively, in assets related to the incident. Binance stated it was conducting urgent security checks and would resume withdrawals once the issue was resolved, assuring users that any hacking losses would be covered. Despite no official confirmation of a hack or asset loss, the market reacted swiftly, resulting in nearly $1 billion in crypto liquidations and a steep drop in Binance Coin prices.
