FBI Seizes $1.2B in Crypto Linked to $6.3B Binance Hack - CoinCodex
The FBI has seized $1.2 billion in cryptocurrency linked to the $6.3 billion Binance hack, considered the largest crypto theft in history.
On Thursday, US authorities announced the seizure of $1.2 billion in crypto stolen during the record-breaking Binance hack. The stolen assets were initially valued at over $6.3 billion, making it the largest cryptocurrency theft in history. The FBI has now recovered a substantial portion of these funds as part of ongoing investigations.
First Assistant U.S. Attorney Bill Essayli for the Central District of California emphasized the significance of this action in combating cybercrime from hostile states. The seizure represents a major victory in the fight against cryptocurrency theft linked to North Korean operations.
Binance Covers Affected Assets
Following the security incident, Binance has completed the process of covering the affected cryptocurrencies. In an X post on Thursday, the exchange announced that users can independently verify their assets are backed at a minimum of 1:1 once the zero-knowledge proof is generated.
Binance has completed coverage of assets impacted in the security incident and we have published a new Proof of Reserves snapshot. Once the zero-knowledge proof is generated, users can independently verify that their assets are backed at a minimum of 1:1.
North Korean Hackers' Tactics
The FBI has previously accused North Korean hackers of orchestrating the Binance hack through deceptive methods. In a separate operation called 'FaceStealer', these hackers allegedly stole about $400 million in crypto over the past 18 months by targeting individuals with fake video calls.
More than 900 people have fallen victim to this scheme, which primarily targets those working in the cryptocurrency sector. The hackers used fake or hijacked social media accounts to contact victims, inviting them to video calls on counterfeit versions of popular platforms like Zoom, Microsoft Teams, and Google Meet.
North Korean cyber actors have used the FaceStealer scheme to aggressively target individuals in the cryptocurrency and Web3 sectors through deceptive social engineering tactics, resulting in the theft of more than $400 million in the last 18 months.
Infrastructure Disruption
The US Department of Justice has taken additional action by disrupting cloud-based systems allegedly used by North Korean hackers in the FaceStealer operation. This coordinated effort alongside the fund seizure demonstrates authorities' commitment to combating cybercrime targeting the virtual asset community.
The FBI has warned that the campaign extends beyond crypto hacks, also targeting people involved in the open-source software supply chain. Authorities remain committed to identifying and imposing costs on North Korean actors engaged in these activities.
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