An initial investigation suggested the breach may have started with a hacked laptop belonging to one of its engineers, which let an attacker gain access to one of its systems and make unauthorized withdrawals, Binance said.
Binance said: “The incident stems from multiple factors. Our security team is tracing the full attack path through the compromised computer which may be the entry point of the incident.”
Beyond the potential loss of assets, the security breach was likely to have wider ramifications for crypto, which had already been under pressure due to higher US interest rates and softer demand from exchange-traded fund buyers, analysts said.
Tim Sun, senior researcher at HashKey Group, based in Hong Kong, said: “It may further dampen risk appetite and prompt investors to reassess the safety of assets held on centralised exchanges, as well as counterparty, solvency and liquidity risks.”