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Binance exchange says it will cover customer losses as it scrambles to freeze affected assets, with about $3bn located so far

The world’s largest cryptocurrency exchange has been hit by a record $6.3bn (£4.7bn) hack described as the biggest heist in history, with experts identifying North Korea as the likely culprit.

Binance said it would cover all customer losses as it froze $3bn of the affected assets.

Analysts said the exchange had been subjected to an unprecedented attack with “never-seen-before” laundering patterns as the hackers made off with assets worth billions of dollars.

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[-] silentjohn@lemmy.ml 0 points 1 day ago

Crypto is not used as a currency, purchasing goods and services. It’s a speculative asset that’s used as a fiat debasement trade

https://ethereumadoption.com/built-on-ethereum?view=byEntity

https://defillama.com/stablecoins/ethereum

Most of it is owned by the same banks that caused the crash that bitcoin was created to avoid.

This is the only sorta-kinda correct thing you said. The complete co-opting of crypto by institutions is a bit worrisome, but if you're truly worried about a "crash", then hold stablecoins. The network itself is decentralized and nobody "owns" it. Your keys are your keys.

Pretty fucking ironic.

There's nothing ironic. I can acquire crypto, send and receive it, without any tradfi involvement.

[-] deHaga@feddit.uk 1 points 19 hours ago* (last edited 19 hours ago)

Ethereum is even worse. Concentration risk from institutions plus smart contract complexity that's a security risk..

Stablecoins are backed by US treasuries. Lol.

[-] silentjohn@lemmy.ml 1 points 5 hours ago

The network itself is sufficiently decentralized. Smart contract risk is a risk though. However, many of the "hacks" have actually just been centralized exchanges, shitty bridge exploits, or rugpulls. Large, well funded, well run teams which have bug bounties have seen relatively few issues.

I am one of the people concerned about the growing centralization of Ethereum. L2s that are centralized. Stablecoins from tradfi companies. Cloud hosted nodes. Validation pools. VC money and increasing institutional presence. Etc.

However, Ethereum is still far and away more decentralized than anything out there. I can send and receive money, in seconds, with no bank or government to stop me.

You are absolutely right about the stablecoin risk, and I've been saying this for years, and many crypto folks have just ignored it. I was hoping to see stuff like RAI take off, but it just never did. It's ok to have valid criticisms of Ethereum that don't invalidate the entire ecosystem. The network will run forever, with or without stablecoins.

[-] deHaga@feddit.uk 1 points 4 hours ago

Yeah don't get me wrong. I like the technology and the principle, but I'd rather have a tokenised assets based off something tangible and positive like soil health and carbon...

[-] silentjohn@lemmy.ml 1 points 3 hours ago* (last edited 3 hours ago)

RWAs (real world assets) are a growing 'sector' of defi. There's currently $30 billion AUM with RWAs.

To be honest, crypto is hypercapitalized as fuck, but there's niche sub groups like Regen Finance and Bread Chain, offering real world solutions for the working class and environmental concerns. This is where my interest in crypto lies.

[-] deHaga@feddit.uk 1 points 3 hours ago

Thanks, will take a look. I remember reading about crypto DAOs ages ago and thought they sounded very interesting.

[-] silentjohn@lemmy.ml 1 points 2 hours ago

DOAs were/are a cool idea, but they all basically just turned into a way for rich people to get outsized influence on orgs/apps. It totally got gamed.

I do think there's value in DAOs somehow, but they way they're setup now, it just kind of failed. I had some DAO tokens and it always felt so pointless voting. My vote was basically worthless. And, most orgs are too scared to turn on the fee switches for DAO token holders in fear of regulatory action.

[-] explodicle@sh.itjust.works 1 points 1 day ago
[-] silentjohn@lemmy.ml 1 points 6 hours ago

The latest hack was on a centralized tradfi platform: binance. This is not really crypto related at all, aside from the assets that were stolen.

The DAO hack you posted is also misinformation. People like to point to the DAO fork as proof that Ethereum is not immutable. But there are many nuances to this that are disingenuously ignored:

  • Firstly, the DAO fork was not a rollback. It was a unique situation where the hackers had to wait 28 days for withdrawals, so a smart contract change was executed.

  • There was strong consensus across developers, users, miners and community alike - it was hardly a centralized decision.

  • Those who disagreed simply moved to Ethereum Classic. It's a win-win situation for all.

  • Ethereum was still a very, very new project then. You know which other project did a rollback when it was less than 2 years old? Value overflow incident - Bitcoin.

  • EIP-999 being rejected is the final deathblow to this hypothesis. There was a chance to rollback 500,000 ETH to an entity managed by one of its co-founders, and the community overwhelmingly rejected it. Rollbacks do not happen on Ethereum.

Additionally, people think Ethereum is centrally controlled. This simply is not true, although many have concerns about the increasing centralization (cloud hosted nodes, centralized stablecoins, etc).

While Vitalik remains an important part of the Ethereum ecosystem, Ethereum development has become sufficiently decentralized over time. Unique to Ethereum is a multi-client approach, where researchers work with developers to create plain text specifications. These specifications are then implemented by multiple client developers who work independently. This is different to all other blockchain projects where the core team develops a single client. Now, of course, there are arguments for a single client - putting all resources into one client could make for a higher quality client than 4 or 5 not-as-high-quality client, but this is clearly the most decentralized approach. For example, there are currently 4 consensus layer clients in production, and 1 more in development - all developed by teams independent of the Ethereum Foundation (apart from receiving grants). For any consensus forks, these 5 development teams have to agree on upgrades, and then 135,000+ validators do as well. This is not how a centralized network functions. Not to mention Ethereum's strong "Layer 0" that all developers and validators listen to intently - its community. For example, EIP-1559 has been significantly motivated by the will of the community.

this post was submitted on 31 Oct 2026
240 points (98.0% liked)

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