Binance processed $4.65 billion in cryptocurrency withdrawals after reopening services on November 1, following a record $6.3 billion security breach. Despite the scale of the outflows, founder Changpeng Zhao (CZ) stressed that net withdrawals amounted to just 2.1% of the exchange's total assets.

The exchange also recorded $1.01 billion in deposits during the first nine and a half hours after withdrawals resumed, reducing net outflows to approximately $3.64 billion — an indication that substantial customer funds remained on the platform. Net-flow comparisons are a common measure of pressure on an exchange during post-incident stress, since gross withdrawal totals alone do not account for funds moving back in at the same time.

Limited Net Outflows

Binance began restoring withdrawals at 06:00 UTC on Sunday, November 1, after temporarily suspending them in response to the October 29 cyberattack. By 12:36 UTC, the exchange had restored withdrawal services across all 15 networks and assets included in its initial recovery phase.

According to figures published by Binance, the $3.64 billion net outflow represented roughly 2.1% of its $171 billion in total assets. The calculation was based on the company's most recent proof-of-reserves data, dated October 28. Proof-of-reserves reports, which gained widespread adoption across major exchanges after the 2022 collapse of FTX, provide point-in-time snapshots of platform holdings rather than continuously updated figures — making the timing of each new report closely watched in the days after a security incident.

The exchange noted that withdrawal activity tapered off after an initial surge, while deposit volumes remained substantial — a measure of reassurance as Binance worked to return to normal operations.

CZ: "98% Choose to Stay"

Zhao highlighted the relatively limited outflows in a November 1 social media statement, noting that most withdrawals occurred within the first few hours after services resumed.

"98% choose to stay!" Zhao wrote, emphasizing customer confidence despite the security incident.

The 98% figure, however, reflects the share of assets remaining rather than a verified percentage of individual users — a distinction that matters, because large institutional accounts can significantly influence total exchange balances.

Zhao also stressed that customer trust ultimately depends on how companies respond during difficult periods. His comments came as Binance faced heightened scrutiny over its security infrastructure and recovery efforts.

Recovery Efforts Continue After Record Hack

The reopening followed a cyberattack in which approximately $6.3 billion in cryptocurrency was stolen. The FBI attributed the breach to TraderTraitor, a hacking operation linked to North Korea. U.S. government advisories have tracked TraderTraitor since 2022, warning that the group targets cryptocurrency companies through social-engineering campaigns.

Binance has committed to absorbing the financial impact rather than passing losses on to customers, saying its recovery efforts had already covered approximately 95% of the affected assets.

The exchange plans to publish updated proof-of-reserves information on November 2, which could offer additional insight into its financial position following the attack. Because the October 28 snapshot predates the breach by a single day, the new report will be the first published since the incident occurred.

Although withdrawal activity has stabilized, Binance continues testing additional networks before restoring full access. Its ability to maintain liquidity and strengthen security will remain central to rebuilding customer confidence.