How Binance Plans To Cover $6 Billion Hack Without Hitting Customers

Binance says customer balances are untouched by this week’s hack because the stolen crypto came from one of its own hot wallets, which the exchange legally owns. A Binance spokesperson explained the setup to journalist Eleanor Terrett. When users deposit crypto on an exchange, the platform typically takes ownership of the assets and credits each customer with a claim on them. Retail holdings are usually pooled in a shared account, and each customer is entitled to a proportional share. The drained wallet held assets that backed those claims, so the loss falls on Binance first.