How long will it take Binance to earn back what was stolen this time?
According to incomplete statistics, the assets lost in this incident are estimated to total $6.3 billion, of which around $3 billion has already been frozen.
If the final actual loss is kept below $3 billion, that raises the question: how long will it take Binance to earn that money back?
Since Binance no longer regularly discloses its actual profits, we can only estimate based on historical data.
Binance previously used 20% of its quarterly profits to burn BNB. The last time it carried out a burn based on a proportion of profits, in October 2021, the BNB burned was worth around $640 million.
Working backward from the 20% figure, Binance’s quarterly profit at the time was around $3.2 billion, or an average of about $1.07 billion per month.
Of course, trading activity in the crypto market has changed over the past few years. Assuming Binance’s current monthly profit is only 60% of what it was during the same period in 2021, its monthly profit would be around $640 million.
Based on that estimate:
* Estimated final loss: $3 billion
* Assumed monthly profit: $640 million
* Estimated time to recoup the loss: about 4.7 months
In other words, if the profit assumption above holds, Binance could theoretically earn back the $3 billion in less than five months.
Put another way, this amount is roughly one-fifteenth of Changpeng Zhao’s personal wealth.
Of course, this is only an estimate based on historical burn data and an assumed profit margin; it does not reflect Binance’s actual current profitability. The historical BNB burn mechanism also cannot be directly equated with today’s net profit.
For a trading platform like Binance, what may really matter is not how long it will take to earn this money back, but how much this incident will affect user trust, platform security, and long-term competitiveness in the market. $BNB
According to incomplete statistics, the assets lost in this incident are estimated to total $6.3 billion, of which around $3 billion has already been frozen.
If the final actual loss is kept below $3 billion, that raises the question: how long will it take Binance to earn that money back?
Since Binance no longer regularly discloses its actual profits, we can only estimate based on historical data.
Binance previously used 20% of its quarterly profits to burn BNB. The last time it carried out a burn based on a proportion of profits, in October 2021, the BNB burned was worth around $640 million.
Working backward from the 20% figure, Binance’s quarterly profit at the time was around $3.2 billion, or an average of about $1.07 billion per month.
Of course, trading activity in the crypto market has changed over the past few years. Assuming Binance’s current monthly profit is only 60% of what it was during the same period in 2021, its monthly profit would be around $640 million.
Based on that estimate:
* Estimated final loss: $3 billion
* Assumed monthly profit: $640 million
* Estimated time to recoup the loss: about 4.7 months
In other words, if the profit assumption above holds, Binance could theoretically earn back the $3 billion in less than five months.
Put another way, this amount is roughly one-fifteenth of Changpeng Zhao’s personal wealth.
Of course, this is only an estimate based on historical burn data and an assumed profit margin; it does not reflect Binance’s actual current profitability. The historical BNB burn mechanism also cannot be directly equated with today’s net profit.
For a trading platform like Binance, what may really matter is not how long it will take to earn this money back, but how much this incident will affect user trust, platform security, and long-term competitiveness in the market. $BNB
