BNB Chain Suspends Network After a Cross-Chain Exploit

BNB Chain Suspends Network After a Cross-Chain Exploit
  • BNB Chain suspends network following $600M cross-chain bridge exploit.
  • The final overall worth of the hack is still unknown.
  • Binance CEO Changpeng Zhao updated the community.

Due to an issue in its cross-chain bridge, the blockchain of cryptocurrency exchange Binance was halted on October 6 with attackers stealing an estimated $100 million worth of cryptocurrency.

The momentary delay was initially reported by the BNB Chain’s official Twitter account as being caused by “irregular activity” on the blockchain, but it was quickly clarified to be due to a potential vulnerability. The blockchain was “under maintenance,” stopping all deposits and withdrawals, according to a statement from Binance.

On-chain analytics revealed that claimed attackers allegedly used two million BNB, the chain’s native coin, with a market value of around $600 million, according to earlier Twitter rumors.

Blockchain developer @0xfoobar tweeted that there was “total mayhem on the chain,” adding that the attacker was “spewing cash across liquidity pools and using whatever bridge they can to go to safer networks.”

According to @0xfoobar, this breach had the potential to be “either the first or second greatest hack of all time,” but the actual damage will be far smaller because of community-wide mitigation measures.

The final overall worth of the hack is still unknown, and it now depends on how to weigh the value of frozen vs moved tokens.

The community was reassured by BNB Chain that “all money is secure.” The attacker completely produced the BNB tokens; they weren’t already there, taken from wallets.

BNB Chain stated that between $70 million and $80 million had been taken from the Binance Smart Chain by 10:20 p.m. EDT, but claimed that $7 million in assets had been stopped before they could be moved.

Separately, the organization commended a number of node providers “for their swift and effective steps” and recognized the efforts of the Binance community and security professionals.

Later, Binance CEO Changpeng Zhao updated the community, stating that “the current effect estimate is roughly $100m USD equivalent” and directing readers to a Reddit thread where the business gave further technical information.

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Godfrey Mwirigi is an enthusiastic crypto writer with an interest in Bitcoin, blockchain, and technical analysis. With a focus on daily market analysis, his research helps traders and investors alike. His particular interest in digital wallets and blockchain aids his audience in their day-to-day endeavors.

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