FBI Blames North Korea for $6.3 Billion Cryptocurrency Theft from Binance

Washington: The US Federal Bureau of Investigation (FBI) has attributed the theft of more than $6 billion in cryptocurrency from Binance, the world's largest cryptocurrency exchange, to North Korean hackers, warning that the stolen digital assets could be moved through decentralised finance platforms and cryptocurrency exchanges to conceal their origins.

In a cyber alert issued on Saturday, the FBI said North Korea was responsible for the theft of virtual assets from Binance on or around October 29, 2026. The agency identified the cyber operation as "TraderTraitor", a name previously associated with cryptocurrency thefts linked to North Korean hacking groups.

The FBI said investigators had observed the hackers converting much of the stolen cryptocurrency into Ethereum. The operation is being monitored in coordination with the US Secret Service and the Internal Revenue Service's Criminal Investigation division.

Warning that further attempts to launder the stolen funds were likely, the FBI said the hackers could use decentralised finance (DeFi) platforms and cryptocurrency exchange services that allow rapid conversion between different digital assets.

The FBI, along with the two other US agencies, urged cryptocurrency exchanges, blockchain operators, analytics companies and other virtual asset service providers to identify and block transactions involving digital wallet addresses associated with the North Korean operation.

The announcement follows an earlier assessment by US-based blockchain intelligence firm TRM Labs, which estimated the loss at approximately $6.36 billion and also linked the attack to the TraderTraitor group.

Meanwhile, Binance has said it has substantially increased the coverage of losses arising from the security breach, assuring customers that they will not suffer any financial impact from the incident.

In an update posted on X, the cryptocurrency exchange said it had previously allocated more than $6.34 billion in company funds to cover losses associated with the breach. It has now increased the coverage of affected assets from approximately 80 per cent to 90 per cent.

The company also reiterated that major cryptocurrencies, including Bitcoin (BTC), remain backed on a one-to-one basis.

The incident highlights the growing threat posed by sophisticated cyber operations targeting the global cryptocurrency industry. North Korean-linked hacking groups have previously been accused by international authorities and blockchain investigators of stealing digital assets to generate funds for the isolated country's activities.

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