Binance chief financial officer Kaiser Ng is leaving the cryptocurrency exchange, barely more than a week after hackers stole $6.3 billion worth of cryptocurrency from user accounts.
According to Bloomberg, co-CEO Yi He said in a statement that Ng’s departure will allow him to “pursue a new venture after more than five years at Binance,” and that a transition plan has been “implemented over the last half year.” Ng will be replaced as CFO by Justin Yek.
The company froze withdrawals for several days; after accounts were unfrozen, users withdrew a net $3.6 billion in the first few hours. Binance and the FBI blamed a North Korean group called TraderTraitor for the hack.
Binance has said it will cover all losses, promising, “Binance will bear the financial impact of the stolen funds. These losses will not be passed on to users.”
Analysis
Why This Matters
- The departure of a top executive so soon after a record-breaking hack may shake user confidence in Binance's leadership and security.
- The scale of the theft, $6.3 billion, raises questions about the safety of even the largest crypto exchanges.
- The net outflow of $3.6 billion after the freeze lifted shows a rapid loss of trust among users.
Background
Binance is the world's largest cryptocurrency exchange by trading volume. The hack, attributed by the FBI to the North Korean cyber group TraderTraitor, is the biggest single theft in crypto history. The company has promised to compensate users from its own funds.
What to Watch
- Whether further senior executives leave Binance in the coming weeks.
- How long it takes for user deposits to recover, if at all.
- Any regulatory or law enforcement actions that follow the hack and the leadership change.
Checked
11 claims in this story checked against 1 source: 11 supported.
Show each claim
- SupportedNg is leaving more than a week after a $6.3 billion hack.TechCrunch: “The announcement comes barely more than a week after hackers stole $6.3 billion worth of cryptocurrency from Binance users.”
- SupportedJustin Yek is named as Ng’s replacement.TechCrunch: “Ng will be replaced as CFO by Justin Yek.”
- SupportedBinance chief financial officer Kaiser Ng is leaving the exchange.TechCrunch: “Binance’s chief financial officer Kaiser Ng is leaving the cryptocurrency exchange.”
- SupportedHackers stole $6.3 billion worth of cryptocurrency from Binance users.TechCrunch: “hackers stole $6.3 billion worth of cryptocurrency from Binance users.”
- SupportedCo-CEO Yi He said in a statement that Ng’s departure will let him “pursue a new venture after more than five years at Binance.”TechCrunch: “According to Bloomberg , co-CEO Yi He said in a statement that Ng’s departure will allow him to “pursue a new venture after more than five years at Binance,””
- SupportedYi He said the transition plan had been implemented over the last half year.TechCrunch: “and that a transition plan has been “implemented over the last half year.””
- SupportedBinance froze withdrawals for several days.TechCrunch: “The company froze withdrawals for several days;”
- SupportedAfter withdrawals were unfrozen, users withdrew a net $3.6 billion in the first few hours.TechCrunch: “after accounts were unfrozen, users withdrew a net $3.6 billion in the first few hours.”
- SupportedBinance and the FBI blamed a North Korean group called TraderTraitor for the hack.TechCrunch: “Binance and the FBI blamed a North Korean group called TraderTraitor for the hack.”
- SupportedBinance said it would cover all losses.TechCrunch: “The company also said that it would cover all losses,”
- SupportedBinance promised, “Binance will bear the financial impact of the stolen funds. These losses will not be passed on to users.”TechCrunch: “promising, “Binance will bear the financial impact of the stolen funds. These losses will not be passed on to users.””
