UPDATE: Elliptic finds 94% of frozen Binance hack funds are stablecoins
CIE News ·
Update to UPDATE: Binance covers 95% of hack losses and begins phased withdrawals
Based on reporting by CryptoSlate; not yet independently confirmed.
Elliptic reported 94% of frozen Binance exploit assets are centralized stablecoins, while $3.3 billion moved via lending pools to drive Aave usage near 100%.
Centralized stablecoins USDT and USDC account for 94% of the assets frozen following the October 29 exploit that drained $6.3 billion from Binance, according to an on-chain analysis by Elliptic on November 1. This comes after law enforcement and industry partners froze between $2.7 billion and $3.0 billion tied to the attack.
Elliptic reported that approximately $3.3 billion in illicit funds moved through decentralized lending pools and swaps. The movement pushed stablecoin pool utilization on Aave to between 92% and 100%. The Federal Bureau of Investigation (FBI) attributed the breach to North Korea's TraderTraitor operation and published a registry of attacker addresses, urging decentralized finance platforms to enforce code-level blacklisting.
Binance reported on November 1 that it had covered about 95% of customer losses using its Secure Asset Fund for Users and corporate reserves. The exchange subsequently began a phased reopening of customer withdrawals, initiating Bitcoin (BTC) transfers before expanding access to assets including Tether (USDT), USD Coin (USDC), Ethereum (ETH), and BNB across multiple networks.
Key facts
- 94% of frozen funds are USDT/USDC
- $3.3B moved via lending pools
- Aave pool usage hit 92% to 100%
- FBI published attacker registry
Read the original at CryptoSlate