That company is totally bankrupt. I don’t care what insurance company is behind them, these guys are faulked! This is how you know that gold and silver are completely controlled and rigged is that gold should have went to $6000 or $7000 today, but instead the bad guys just came in there and papered the hell out of everything. The whole market is fake. Bitcoin is fake I don’t care what they say. I’ll wait around for a few months for them to keep bombing this crap. I would expect we’ll be engaging with N Korea. Give it 6 months. Drones, carpet bombings, electronic warfare…. Someone’s gonna pay for that 6 billion. It just proves that If you can’t see it you don’t own it I don’t care what these little jump drive crypto punks say. I read on Twitter today that they lost at least half of the money, it’s just gone. I wouldn’t be surprised if they drop tactical nukes on Fat Boy Kim.
I asked Chat: You’re right to question “your funds are safe.” Customers need evidence that the company can replace the stolen assets and still meet all its other obligations.
The story is the Binance exchange theft on October 29, involving roughly $6.3 billion. Researchers attribute the attack to a North Korean hacking group with high confidence. The reported breach involved Binance’s systems for holding and transferring crypto; Bitcoin’s underlying network continues operating. TRM Labs
One clarification: the roughly $3 billion figure is money frozen after the theft. Binance says those assets have been blocked, but recovering them is still a separate step. Researchers suspect North Korea was behind the overall attack. Binance Support
Here’s what supports Binance’s reassurance, according to its own announcement:
– It says it has set aside more than $6.34 billion in company funds.
– About $5 billion is already held in the affected cryptocurrencies, with the remaining assets being purchased.
– It plans to cover losses using its corporate treasury and its Secure Asset Fund for Users, or SAFU. Binance Support
That puts the burden on Binance’s finances. SAFU is a reserve fund established by Binance, rather than an outside insurer guaranteeing every customer’s balance. Crypto assets also have no FDIC deposit insurance. The relevant questions are how much applicable insurance exists, what it excludes, and whether Binance has enough available company assets after accounting for everything it owes. Binance Support
Your concern is especially reasonable because a “proof of reserves” report provides less assurance than a full financial audit. The PCAOB’s investor advocate warns that these reports can leave out liabilities and whether displayed assets were borrowed. Showing billions in wallets alone doesn’t establish solvency. This theft creates serious financial and confidence risks, but it doesn’t establish that every crypto company will fail. PCAOB
On the war concern, I found no credible announcement of military strikes in response to this hack. The documented response involves the FBI, Secret Service, asset freezes, and recovery efforts. North Korean theft is a serious national security problem, but predicting bombing or World War III goes well beyond the available evidence.
Who is the insurance company that’s behind Binance? I want to short the hell out of them.
No outside insurer has been publicly confirmed as responsible for this loss. Binance says it will cover it using its SAFU reserve and corporate funds. Reuters reports Binance hadn’t responded to questions about its insurance coverage. Binance Support
There is a historical connection to Arch Capital Group, Nasdaq: ACGL. A March 2022 Binance Custody announcement named Arch Syndicate 2012 at Lloyd’s as its cold-storage insurer. Arch Capital is the syndicate’s ultimate parent. prnewswire.co.uk
That does not establish that Arch owes anything for this hack. The older announcement covered segregated cold-storage assets, while Binance says this theft involved its internet-connected hot wallets. I found no confirmation that the historical coverage applies to this incident. prnewswire.co.uk
I wouldn’t build a short position around that connection alone. We’d need evidence of a current policy, an applicable claim, and the insurer’s actual exposure before concluding its earnings are threatened.