Changpeng Zhao, the founder of Binance, confirmed a hack on the crypto exchange on Thursday, October 29, 2026, via a post on X (formerly Twitter). Zhao stated, “User funds are safe! It does look like a hack on Binance. Appreciate the quick freeze from Tether (~$971m) and Circle (~$823m). I don't manage Binance (.com) anymore, but as a shareholder, I expect all user funds will be fully covered.” His statement followed rapid actions by stablecoin issuers.
The crypto industry is currently grappling with the aftermath of this apparent security breach. Recent Gokhshtein coverage reported Tether and Circle freezing a combined $1.79 billion in stablecoins following initial Binance outflows. This incident follows a period where Bitcoin has cleared $81,800, with derivatives markets seeing $54.78 billion in activity and options traders stacking $100,000 bets, suggesting strong underlying market confidence prior to the event.
Zhao’s assurance that user funds will be fully covered, despite his non-operational role, aims to mitigate panic and maintain trust in the exchange. The swift action by Tether and Circle to freeze substantial amounts of USDT and USDC highlights the role of stablecoin issuers in containing the financial fallout from such incidents. The focus now shifts to the full recovery of funds and the investigation into the hack's specifics, which Zhao expects to confirm the safety of all user assets.
