- Crypto trader loses $70,000 on Binance due to hacker; community criticizes slow response.
- Binance CEO promises investigation after trader’s funds were stolen, but the community remains skeptical.
- The incident highlights the need for better security measures in cryptocurrency exchanges to protect users’ funds.
A crypto trader, known by the pseudonym DoomXBT, has reported a distressing experience on the Binance exchange, resulting in the loss of $70,000 in digital assets to a hacker. The incident, which occurred on February 29, has sparked criticism from the community regarding the exchange’s response to the security breach.
Trader’s troubling experience
DoomXBT took to social media to share the events leading up to the losing funds on Binance. The trader described experiencing unusual activity on their account, including unexpected trade orders and loan processing, indicating a possible compromise.
Despite having two-factor authentication activated, the account’s security was breached, leading to the unauthorized withdrawal of crypto assets.
Before withdrawing, the hacker reportedly exchanged the trader’s assets for Binance Coin (BNB) tokens. Despite the trader’s efforts to contact Binance support upon noticing the suspicious activity, the funds were transferred out of the account when assistance was sought.
Community response and criticism
Community members have voiced dissatisfaction with Binance’s handling of the situation, particularly regarding the lack of timely intervention to freeze withdrawals. Many argue that such measures could have prevented or mitigated the extent of the loss.
Critics also aimed at Binance CEO Richard Teng’s response to the incident, with some deriding his apology and promises of investigation as insufficient. Teng assured the affected trader that a security task force was already investigating the matter and pledged to provide updates on any developments.
Exchange’s response and investigation
In response to the community’s concerns, Binance’s social media and community leads affirmed that the case had been escalated and was under investigation. However, some users remain skeptical of the exchange’s commitment to addressing security issues promptly and effectively.
CEO Richard Teng reiterated the exchange’s dedication to security and expressed regret over the incident. He promised to keep the affected trader informed of any progress in the investigation, emphasizing the seriousness with which Binance takes such matters.
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Edward Hopelane
Edward Hopelane is a certified content specialist and a business developer. He enjoys writing about emerging technologies such as Blockchain, Crypto/NFTs, Web3, Metaverse, Artificial Intelligence, UI/UX, and whatnot. With vast experience in blockchain, he has turned complex web 3 topics to simple blog posts.
