Binance said on Nov. 12 that it has completed coverage of assets affected by its $6.3 billion October hack and published a new snapshot of its reserves. The accompanying zero-knowledge proof, which lets users verify backing themselves, is still to come.
Binance announced on Nov. 12 that it had completed coverage of customer assets affected by the October 29 security incident. The exchange also published a new Proof of Reserves snapshot, but the cryptographic proof that goes with it has not been generated yet.
The statement concerns the assets backing customer balances. It does not say that all cryptocurrency taken by the attackers has been recovered.
Three company sources paid for replacements
In its Oct. 31 update, Binance set aside more than $6.34 billion in company funds, with replacement coverage then reaching 90%. It named three funding sources: the Secure Asset Fund for Users, part of its Futures Insurance Funds and its corporate treasury.
By Nov. 4, Binance reported coverage of approximately 98%. The remaining tokens took longer to source through market and over-the-counter purchases because of limited liquidity.
Investing.com reported that authorities and analysts attributed the theft to North Korea, and that the breach appears to have started with a phishing attack on an engineer through a fraudulent job offer.
The reserve proof has no completion date
Once the zero-knowledge proof is generated, users will be able to verify backing of at least 1:1, according to Binance. The Nov. 12 post gave no timestamp or token count for the new snapshot and no deadline for the proof.
The previous snapshot covered 44 tokens, up from 10. For that round, Binance estimated 50-60 hours to generate its proof.
Sources: crypto.news, The Defiant, Cryptocurrency News
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