North Korea denies involvement in $6.3 billion Binance cryptocurrency theft

North Korea has denied allegations that it was responsible for a record $6.3 billion (£4.7bn) hack of the cryptocurrency exchange Binance, calling the claims "absurd rhetoric."

Allegations and Attribution

The FBI, the Secret Service, and various cyber analysts have attributed the attack to TraderTraitor, a state-backed hacking group linked to North Korea. Blockchain intelligence firm TRM Labs stated it attributed the attack to the group with "high confidence," citing transaction patterns and other intelligence. Other investigators, including Chainalysis and ZachXBT, have also linked the theft to North Korean hackers.

According to an October 31 FBI advisory, the attackers converted stolen funds primarily into Ethereum. TRM Labs noted that the breach, which occurred on October 29, compromised Binance hot wallets across ten blockchains, resulting in approximately $6.36 billion in unauthorized withdrawals.

North Korea's Response

Kim Yo-jong, a top Democratic People's Republic of Korea official and the sister of leader Kim Jong Un, issued a statement through the Korean Central News Agency (KCNA) on Tuesday. Kim rejected the FBI's attribution, describing the accusations as a "sinister attempt" and a "grave political provocation" by the US to damage the country's image.

"The US has made a trite provocation of linking it with the Democratic People's Republic of Korea again," Kim Yo-jong said. She further stated, "It is a grave political provocation against the DPRK that the US misleads the international public opinion as if all the cyber crimes in different parts of the world are our deeds." Kim also suggested without providing evidence that the US might be involved, stating, "If it carefully examines who will get the large amount of the so-called stolen cryptocurrency when the latter is retrieved, it may get a clue about who is behind the hacking incident."

Binance's Response and Recovery

Binance, the world's largest cryptocurrency exchange, has focused its public statements on the technical nature of the breach. The company stated that initial checks indicated an engineer's laptop had been compromised, allowing an attacker to make unauthorized withdrawals.

To address the loss, Binance reported the following:

• The company has covered approximately 95% of the stolen assets using company funds, including corporate reserves, its Futures Insurance Fund, and 50% of its $1-billion Secure Asset Fund for Users (SAFU).
• Binance stated it would cover all losses linked to the attack.
• As of Sunday, Binance reported that customers pulled out more than $3.6bn of assets as the exchange reopened after suspending transactions.
• The exchange completed a proof-of-reserves verification for ten major crypto assets as of October 31 to show holdings are backed at a 1:1 ratio.

Why it matters

The incident is described as the largest cryptocurrency heist in history. It follows previous allegations involving North Korean-linked groups, such as the $1.5 billion hack of the Bybit exchange in 2025.

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Sources

• bbc.co.uk: North Korea denies being behind $6.3bn Binance crypto hack - BBC News
• tradingview.com: North Korea denies role in $6.3B Binance hack, points finger at US — TradingView News
• economictimes.indiatimes.com: 'A trite provocation': North Korea denies involvement in $6 billion Binance hack, criticizes FBI probe - The Economic Times
• inkl.com: North Korea rejects US allegations over $6 billion…
• businesstimes-bd.com: Binance Replaces $6 Billion Stolen in North Korea Crypto Hack
• cryptobriefing.com: North Korea denies involvement in $6.3B Binance hack, calls FBI claims absurd

This article was drafted with AI assistance and checked against the sources above. Company claims are reported as claims. Cover image is AI-generated.