Binance processed about $11 billion in withdrawals over 46 hours after reopening services following its Oct. 29 hack. Deposits offset just over half of that, and co-founder Changpeng Zhao says only a small share of the outflows reached rival exchanges.
Binance reported about $11 billion in withdrawals between 06:00 UTC on Nov. 1 and 04:00 UTC on Nov. 3. The exchange had just reopened services after its $6 billion hack on Oct. 29.
Deposits of about $6 billion offset just over half the withdrawals, leaving roughly $5 billion in net outflows, according to data Binance released on Tuesday. The net withdrawals equal about 3.1% of the $171 billion in assets Binance previously reported.
Outflows slow as deposits catch up
Withdrawals exceeded deposits by $936 million in the peak hour, which began at 08:00 UTC on Nov. 1. The pace then moderated, as incoming deposits increasingly offset withdrawals through Nov. 2.
By the hour beginning at 03:00 UTC on Nov. 3, Binance recorded $193 million in deposits against $183 million in withdrawals, a positive balance of $10 million. Binance co-CEO Richard Teng pointed to the figures as a sign of improving customer activity, writing: "The trend is starting to show more positive inflows with hourly deposits exceeding withdrawals."
Zhao says few funds went to rivals
Citing unspecified public reports, Zhao said only 6% to 10% of withdrawals went to other centralized exchanges. Most funds, he said, moved to self-custody wallets that had not subsequently interacted with decentralized exchanges. His post did not identify the reports or provide the underlying wallet analysis.
Zhao also said Binance absorbed the hack's financial impact without borrowing money, selling assets or raising money, and covered the losses from its balance sheet.
Binance began a further phased reopening of withdrawals at 04:00 UTC on Nov. 3, including assets on Ethereum, Solana and BNB Smart Chain. It said more assets will be added as security checks are completed.
Source: CryptoSlate
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