pull down to refresh

Circle, Tether Freeze $2.3B Funds Impacted by Potential Binance 'security issue'www.cnbc.com/2026/10/29/circle-tether-freeze-funds-impacted-by-potential-binance-security-issue.html
771 sats \ 10 comments \ @Cje95 29 Oct Stacker_Stocks

I know there have been a couple of posts about a ~$2 billion Binance hack but the frozen funds from Circle (USDC) and Tether (USDT) are already over that amount. Ripple has also frozen $200 million in funds as well!

Circle CEO Jeremy Allaire said Thursday evening in a social media post that the company had frozen more than 800 million in USD Coin associated with the incident. USDT stablecoin issuer Tether CEO Paolo Ardoino also said in on X that his firm had frozen more than 1.5 billion of its stablecoin that may have been related to a potential breach.

Later, Binance co-founder Yi He said in a statement that the XRP and RLUSD-tied firm Ripple helped halt the movement of $200 million worth of funds linked to the possible attack.

It will be interesting to see what ends up happening with these hacked funds that were moved through Tornado Cash given that the stablecoins have been frozen and so they are toast.

write
compose
related posts
11 sats \ 4 replies \ @BlokchainB 29 Oct

Thieves should not profit from stealing from others !

reply
60 sats \ 3 replies \ @Cje95 OP 29 Oct
The initial Binance 14 transaction, at 4:24 p.m. ET, moved 167,464.25 ETH and about 1.615 billion USDT to the collection address. Etherscan lists 63 ERC-20 token transfers in that transaction.

Just 24 seconds later, Binance 16 sent 28,005.6 ETH to the same recipient. Its token-transfer records also show about 55.74 million USDT and 25.94 million RLUSD moving there, alongside other tokens.

Hot Wallet 34 then sent 780 million USDC at 4:41 p.m. ET and another 43 million at 4:59 p.m. ET. Both transfers went to that collection address through calls to Binance 14.

Security firm Blockaid said the movements looked consistent with unauthorized transfers, but said it could not yet rule out an internal treasury or operational sweep.

Stablecoin issuers also intervened. A successful Tether transaction at 5:01 p.m. ET added the collection address to USDT's blacklist. A USDC transaction at 5:04 p.m. ET likewise blacklisted the same address.
reply
11 sats \ 2 replies \ @BlokchainB 29 Oct

Maybe a misunderstanding?

reply
152 sats \ 1 reply \ @Cje95 OP 29 Oct

It will be interesting to see if any of this is due to some sort of automatic safety procedure that was triggered. I have no clue though and CZ saying they might have been hacked is a pretty damming thing

reply
1 sat \ 0 replies \ @BlokchainB 29 Oct

Binance was hacked!!

reply
21 sats \ 2 replies \ @SimpleStacker 29 Oct

How exactly does freezing funds help? In the sense that they suspect the attacker's funds are mixed in with the frozen funds?

reply
43 sats \ 1 reply \ @Cje95 OP 29 Oct

With central issuers like USDC and USDT the companies are able to burn the tokens making them worthless because they are no longer redeemable for the USD equivalent. I think of it like a remote kill switch, so to make USDC/USDT worth it, they would have to be exchanged for a decentralized crypto like ETH, BTC, etc. Those that are centralized are able to kill the value.

reply
1 sat \ 0 replies \ @SimpleStacker 29 Oct

so it makes the stolen funds worthless, but can it return the funds to anyone who was stolen from? I'm not even sure the funds even belong to anyone specifically if they were just held in Binances treasury

reply
1 sat \ 0 replies \ @nichrome 30 Oct
funds that were moved through Tornado Cash given that the stablecoins have been frozen and so they are toast.

Not sure I get this part. They moved funds through tornado cash only to end up in stable coins on the other side?

reply
1 sat \ 0 replies \ @twiiit 29 Oct
reply