Dear Binance community members,
In our previous update, we reported that Binance had reserved more than $6.34 billion in corporate funds to cover losses from the hack and had already covered approximately 80% of the amount of the loss at that time.
The covered amount has now increased to 90%.
All BTC, ETH, USDT, BNB, SOL, USDC, XRP, USD1, RLUSD, and ZEC are 100% backed. We will continue acquiring the remaining eligible tokens through market and over-the-counter channels until the covered amount reaches 100% for all tokens. Binance will bear the financial consequences of the theft of these funds, not our users.
The following were used to recover the funds:
Partial use of the Secure Asset Fund for Users (SAFU). This is expected to take place within the next 24 hours; users can view the updated balance here.
Part of the Futures Insurance Fund. The remaining balance of the Futures Insurance Fund is a regulatory requirement. Users can check the fund's updated balance here.ย
Binance's own corporate funds.
We continue to acquire the remaining assets affected by the theft through market and over-the-counter channels. The remaining 10% consists of tokens outside the top ten listed above. These assets are less liquid, so acquiring the required amount may take longer. We are working with industry partners to complete the remaining purchases and will provide further updates as we make progress.
We have also taken a new Proof of Reserves (PoR) snapshot as of 31.10.2026, 00:00 (UTC), and have updated it on the PoR website. This snapshot contains updated information on assets that are fully backed and is part of our ongoing commitment to transparency. Creating a complete zero-knowledge proof takes approximately 40 to 50 hours due to the high computational load. Once the complete proof is ready, users who hold any of these ten tokens will be able to independently verify that their assets are backed at least 1:1. This is expected by 03.11.2026 (UTC).
Our commitment remains unchanged: Binance will fully cover the financial impact of the funds stolen in this incident. We will continue to demonstrate that commitment through measurable progress, transparent reporting, and concrete actions.
The next key priority is to resume withdrawal services for users. We still plan to resume withdrawals on the previously announced dateโSunday, 01.11.2026โand will provide a further update as soon as the details are confirmed.
FAQ
What is the Secure Asset Fund for Users (SAFU)?
SAFU is an emergency reserve fund established by Binance in July 2018 to protect user assets in exceptional circumstances, such as security breaches or platform-level incidents. Binance allocated a percentage of trading fees to gradually grow the fund to a substantial size.
The SAFU Fund is held and managed by Nest Clearing and Custody Limited, a recognized clearing house regulated by the Financial Services Regulatory Authority of Abu Dhabi Global Market (ADGM). Some of the funds are used as capital reserves under Binance's regulatory obligations in ADGM.
Will Binance replenish the SAFU Fund?
Binance is committed to replenishing SAFU to bring the fund back to approximately $1 billion. We are replenishing SAFU to ensure that the fund remains fully funded and ready to protect users as intendedโas an emergency reserve for user protection.
If BTC is already 100% backed (as shown in the latest PoR snapshot), why are you still using SAFU funds?
We are using part of the SAFU Fund to acquire the remaining 10% of assets and achieve 100% coverage for all tokens.
Can users view the SAFU Fund?
SAFU wallet address:
BTC: 1BAuq7Vho2CEkVkUxbfU26LhwQjbCmWQkD
It can be viewed publicly using blockchain explorers, for example: https://www.blockchain.com/explorer/addresses/btc/1BAuq7Vho2CEkVkUxbfU26LhwQjbCmWQkDย
What are Futures Insurance Funds?
Futures Insurance Funds are protective mechanisms provided by Binance that limit the impact of liquidations. Their primary purpose is to reduce the frequency of counterparty liquidations (commonly known as ADL), protect futures traders from losses resulting from a shortfall caused by bankrupt positions, and help ensure that profitable positions are paid in full. Futures Insurance Funds are funded by Binance, including through liquidation clearing fees charged by the platform, and are not part of user assets.
Binance has rebalanced the Futures Insurance Funds to allocate part of their balance to cover the affected assets.
Has the risk of auto-deleveraging (ADL) increased?
The Futures Insurance Funds remain above the coverage threshold set by Binance's risk management framework. This helps ensure that funds are available to support users during extreme market conditions. We continuously compare the fund size against historical stress scenarios representing extreme but plausible market conditions, and replenish it when necessary. Due to volatility, no exchange can completely eliminate auto-deleveraging, but we always aim to minimize such occurrences.
Will Binance replenish the Futures Insurance Funds?
The fund balances are maintained above the required level. When a balance falls below the threshold set by our framework, Binance replenishes the funds using its own capital, as it has done before. Funds in excess of this threshold became available, so they could be reallocated without compromising coverage.
Can users view the Futures Insurance Funds in the Proof of Reserves (PoR)?
No, not in the PoR. The fund itself can be viewed publicly here; the data is updated daily at 00:00 (UTC).
PoR serves a different purpose: each user can verify that their own assets are fully backed. The Futures Insurance Funds are Binance's own reserve, and users can only view their own assets in the PoR.
Can users verify that their assets are fully backed on Binance?
Yes. Users can verify that their assets are fully backed on Binance. Learn more here.
Note: There may be discrepancies between this original content in English and any translated versions. In case of any discrepancies, please refer to the original English version for the most accurate information.
The Binance Team
October 31, 2026
Please note: There may be discrepancies between this original content in English and any translated versions (which may be generated using AI). Please refer to the original English version for the most accurate information in case of any discrepancies.