$5.8B stolen from Binance, $2.435B stablecoins frozen as hacker dumps $PEPE, $LINK, $UNI, $ENA

Xie Jiayin, head of Bitget's Greater China region, posted on social media that Bitget's team is ready to support Binance wherever needed, backing the relevant parties' proper freezing and tracking operations.

Regarding the Binance hack, some believe the attackers may have exploited Ethereum’s EIP-7702 mechanism to take control of wallets and siphon funds. X user 0xVEER noted that developer 0xjustadev warned against “this scenario” as early as during EIP-7702 discussions roughly two years ago. In October 2024, a developer in the Ethereum Community Forum’s EIP-7702 (Set EOA account code) discussion thread pointed out that current phishing attacks mostly rely on EIP-712 signatures, which are relatively readable and easy to spoof. The EIP-7702 proposal, however, could allow attackers to drain all valuable assets—including native tokens—via signatures that are less readable and harder to simulate. The developer also expressed concern that wallets might adopt highly centralized contract signature whitelists as a result, a step backward for security and decentralization. To date, Binance has not officially confirmed whether the incident is indeed linked to EIP-7702, and the above content is solely community perspectives.

Wintermute founder Evgeny Gaevoy stated in a post that Binance has sufficient capital to withstand 3 to 4 times the current impact and remain intact, is very likely to weather the crisis, and user funds are most probably safe. However, he advised against continuing to deposit funds with Binance until the issue is clarified. Gaevoy also noted that Wintermute does hold exposure to Binance, which accounts for less than 20% of its net assets, and under no scenario does he expect this to cause any operational disruption to Wintermute over any time period.

According to Coinglass data, global crypto liquidations totaled $949 million over the past 12 hours, including $803 million in long-position liquidations and $146 million in short-position liquidations.

Cobo co-founder Shen Yu posted that the EIP-7702 delegation for the hot wallet tagged as Binance 14 has remained unrevoked for over two hours. Separately, a transaction of approximately 2961 ETH sent to that address has been stuck pending for a long time due to low gas fees; once it confirms on-chain and the base fee drops below 4.4 gwei, the attacker may transfer the ETH away again.

Market maker GSR’s CEO Xin Song stated in a post that the firm is in contact with Binance to better understand the suspected security incident and evaluate areas where it can assist. GSR’s relevant exposure is limited to less than 5% of the company’s net assets, and the incident is not expected to cause material disruption to its daily operations.