Binance Intercepts $5M in Stolen Funds from BtcTurk Hack

• Turkey’s largest crypto exchange was hacked. 
• Binance is working with BtcTurk to retrieve the funds. 
• Binance has already recovered a fraction of the hacked funds. 

On Saturday, June 22, Turkey’s largest crypto exchange, BtcTurk, was struck by a cyberattack that left a $54 million hole in users’ funds. Hackers successfully breached the exchange’s hot wallets, siphoning off a significant amount of AVAX tokens. However, just as the hackers attempted to launder the stolen funds, Binance swooped in.

Binance Offers a Helping Hand

“Our investigations and security teams are working around the clock to protect the ecosystem from bad actors,” Binance CEO Richard Teng reassured users in a recent post after intercepting the stolen funds from the BtcTurk hack.

At press time, Binance had frozen $5.3 million of the $54 million looted and was now working with BtcTurk to retrieve the remaining funds.

Hawk-eyed Blockchain sleuth ZachXBT was among the first to sound the alarm and connect Avalanche’s sudden 10% drop to the BtcTurk hack earlier in the day. On-chain data reveals that the stolen funds have made their way through multiple platforms, including Coinbase, Binance, and THORChain. 

While neither Coinbase nor THORChain have addressed the hack, according to on-chain data, hackers have already successfully converted some of the stolen funds to Bitcoin, ZachXBT noted. 

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While the hack on Turkey’s largest crypto exchange is unfortunate, BtcTurk confirmed that its cold wallets, which hold the bulk of its assets, remain secure, and the company remains solvent. The pilfered funds were only a fraction of the assets in its ten hot wallets.

On the Flipside

• ZachXBT asserted that the hackers behind the BtcTurk hack were likely also behind the hacking of Sportbet, which cost $3.5 million.
• Crypto hackers siphoned nearly $300 million in Q1 2024. 

Why This Matters

Binance stepping in to assist BtcTurk marks a significant positive development for the crypto exchange, providing much-needed relief.

More on crypto hacks:
Crypto Hackers Siphon Over $300 Million in Q1 2024, Immunefi Gemini settles case with the NYAG:
Crypto Exchange Gemini Settles with NYAG for $50 Million