EP 42
Binance Allocates Treasury Reserves as Withdrawals Prepare to Resume
In this episode
Binance has reserved over $6.34B of company funds to fully cover user losses following a major security breach, with $5B already held in matching token assets and $3B frozen across the industry. Co-founder Yi He and founder CZ reassured the community that user funds are SAFU, noting withdrawal services are scheduled to resume in phases within 42 hours. Meanwhile, BNB held steady at $699.18 despite widespread market volatility and an Ethereum-wide discussion around EIP-7702 delegation exploits.
- Binance set aside over $6.34B in corporate funds to cover the security incident, with $5B already in matching token assets and user losses fully covered.
- Industry partners and authorities have frozen $3B in affected assets, with the FBI and Secret Service joining the investigation.
- Yi He stated that affected assets account for about 2% of total user assets and public reserves, with withdrawals expected to resume in phases within 42 hours.
- Binance co-founder CZ noted that while the incident is large in USD terms, it represents a smaller supply impact than historic events like Mt. Gox, and confirmed user funds are SAFU.
- The attack reportedly leveraged an EIP-7702 delegation and self-destruct mechanism that bypassed Binance's standard approval controls.
- BNB demonstrated price resilience, rising 0.2% to $699.18 while BTC dropped 2.41% to $76,938.01.
- BSC total value locked decreased 6.05% in the last 24 hours to $5.195B amidst broader market liquidations.
- Four.meme resumed platform token creation across all modes following completed platform upgrades.
- gang.fun introduced a continuous mint mechanism for Agent ID wallets feeding pool liquidity directly.