Binance blockchain suffers $570 million hack

A rare blow to the world's biggest coin exchange and another dent to the troubled digital assets industry has been caused by the theft of $570 million from the exchange.

The operation of the affected blockchain was paused for eight hours on Friday after it was estimated that token worth up to $110 million had been stolen.

The exchange later revealed that the hacker had taken around 2 million of the BNB, a digital token from the exchange. The hack was focused on the BSC token hub.

At a time when digital assets are trying to recover from a credit crisis that wiped nearly two-thirds off the value of its most high-profile token, it comes at a good time. Data from the industry shows that theft from projects is going up.

According to data from Chainalysis, cyber criminals have taken over $2 billion this year, almost double the amount taken in the first seven months of last year. $600 million was stolen from the blockchain behind AxieInfinity. State sponsored actors in North Korea have been blamed for many hacks.

Friday's exploit is a blow to the digital assets industry due to the fact that Binance is the world's largestcryptocurrencies exchange.

The issue is contained now, according to a series of posts on social media by the founder and chief executive. The money is safe. We will provide further updates as soon as possible.

The network's validators were asked to stop working. The funds were taken from a bridge that allows customers to transfer money between chains. There was a weakness that allowed the hack to create extra BNB token.

Many of the world's most widely usedBlockchains run on separate technologies or use different token types. It's not possible for investors or developers to move their token to a different platform.

About $7 million of the token was frozen by the community.

Developers can build applications that use smart contracts with the help of the world's largest exchange. The new chain was launched at a time when there was a lot of interest in decentralization.

The Financial Times is a division of The Financial Times. The rights are not to be redistributed, copied or modified.