Crypto markets were defined by Binance’s massive reported hack, which triggered steep volatility across major tokens and forced liquidations while the exchange said it would cover losses and publish the assets in its next reserves report.
Binance says it will cover losses from record reported hack
Binance said it has set aside more than $6.34 billion to cover losses tied to the reported breach and plans to include those assets in its next proof-of-reserves report. Reporting from multiple outlets said the hack was roughly $6.3 billion in size, with about $3 billion in assets frozen and some stolen funds traced to 18,270 BTC spread across 19 wallets.
Sources: Cointelegraph, CoinDesk, CoinDesk, Cointelegraph
Market stress spreads through bitcoin, ether and derivatives
The hack coincided with a wider crypto selloff and a surge in forced liquidations. One report put crypto futures liquidations at $1.57 billion, while another said more than $1.5 billion in leveraged bets were wiped out, with the bulk of forced closures coming from bullish positions and Binance handling a large share of the total.
Sources: CoinDesk, CoinDesk, Cointelegraph
Attack details and token fallout draw scrutiny
Security coverage said the incident may have involved Ethereum wallet mechanics and an upgrade known as EIP-7702, though experts said the upgrade was not necessarily the root cause. Separate reporting said the attacker dumped smaller tokens, including FUN, causing one 2017-era token to fall sharply in thin markets.
Sources: CoinDesk, Cointelegraph, CoinDesk, Decrypt
Industry and exchange reactions widen beyond Binance
The incident prompted knock-on effects for other venues and traders. CoinDCX said it restricted new futures positions after the Binance disruption affected a liquidity provider, while market commentary suggested the episode could accelerate interest in decentralized exchanges.
Sources: CoinDesk, Cointelegraph
Other notable crypto market moves
Outside the hack, Strategy’s CFO Andrew Kang resigned as the company reported record quarterly operating income and bitcoin holdings of 848,517 BTC. Hyperliquid also drew attention after a regulated U.S. perpetuals initiative advanced, with one report saying the event had been overshadowed by the Binance breach.