The cryptocurrency market is absorbing the fallout from the largest exchange theft on record after Binance suffered a $6.3 billion security breach on October 29, 2026. The attack compromised Binance’s hot wallets and forced the world’s largest cryptocurrency exchange to suspend withdrawals, triggering a broad decline in digital asset prices and a wave of customer withdrawals once services resumed.
Binance began restoring withdrawals at 06:00 UTC on November 1. In the first nine and a half hours after reopening, the platform processed $4.649 billion in customer withdrawals and $1.01 billion in deposits, producing net outflows of about $3.64 billion. By Monday, Binance reported cumulative net customer withdrawals of $4.72 billion, equivalent to approximately 2.8% of its reported pre-incident assets.
According to data from DefiLlama, Binance’s net wallet outflows exceeded $7 billion during an earlier Monday reporting window, up from about $5.8 billion earlier in the day. In contrast, rival exchanges attracted fresh deposits. OKX led the 24-hour exchange inflow rankings with approximately $445 million, followed by Bybit at $112 million, Gate at $91 million and Bitget at $54 million. Together, those four platforms recorded roughly $702 million in net inflows during the reporting period.
The figures do not prove that funds withdrawn from Binance were transferred directly to competitors, and wallet trackers can capture internal transfers or movements to new addresses. Still, the divergence offers an early indication of shifting exchange balances after the record theft. Despite the outflows, Binance retained approximately $127.9 billion in wallets tracked by DefiLlama at the time of the snapshot, while OKX held about $29 billion. Binance separately reported about $171 billion in platform assets as of October 28.
Binance has committed to replacing stolen assets using corporate funds, its Secure Asset Fund for Users and futures insurance fund resources. By November 1, the exchange said it had replenished approximately 95% of affected assets, up from 90% the previous day, with the remaining 5% consisting of less liquid tokens. Around $3 billion in stolen assets has been frozen through cooperation with industry partners, though those freezes do not mean the cryptocurrency has been returned.
On November 2, Binance announced completion of a zero-knowledge proof for its October 31 proof-of-reserves snapshot. Customers holding BTC, ETH, USDT, BNB, SOL, USDC, XRP, USD1, RLUSD and ZEC can verify that their recorded balances were backed at least one-to-one at the snapshot time. However, the snapshot predates the reopening of withdrawals. Binance plans another snapshot on November 4 and has scheduled another phase of withdrawal restoration for November 3.
Market participants are watching whether withdrawal demand stabilizes, whether the remaining assets are replenished, and whether rival exchanges can retain newly deposited funds. For now, the record breach has shaken confidence in centralized exchange custody and intensified competition among major trading venues.
