Binance Cuts Its Emergency Bitcoin Reserve by Half While Backing Customer Balances With New Audit Proof

Binance’s well known emergency wallet is now down to about 7,500 BTC, or roughly $583 million, after the exchange sent out 7,499 coins on Saturday to help make customers whole. The balance sat near 15,000 BTC beforehand. That move was part of the exchange’s plan to cover the damage from Thursday’s $6.3 billion breach, which the FBI traces to the North Korean group TraderTraitor.

Rules for Refilling the Fund

The fund’s guidelines say Binance restores it to $1 billion whenever bitcoin price swings push its value under $800 million. Those rules say nothing about when money used after an attack must be put back. Binance has not responded to questions about what is left, whether more will be used or when the reserve will be rebuilt.

Binance Post-Hack Recovery Progress

Withdrawals started returning in phases on Sunday. The company says roughly 95% of the lost assets are now replaced, up from 90% one day before, and it is still purchasing harder-to-find tokens through open markets and private trades. Funding comes from its own treasury, the emergency fund and part of a futures insurance pool.

Reserve Verification for Users

On Monday, Binance said account holders can check their balances against Saturday’s reserve snapshot, since the cryptographic work behind it is complete. Holdings across 10 coins, among them Bitcoin, Ether and USDT, were reported as fully covered on a one to one basis. Another snapshot with additional tokens is set for Wednesday, and building its proof will take roughly two more days.