According to recent data, Binance witnessed a massive $3.971 billion inflow within a week following the Bybit exploit. This amount was nearly ten times higher than the combined inflows of the following nine largest exchanges, which received approximately $396.83 million.
The surge in Binance’s inflows came after Bybit suffered a major security breach, resulting in the theft of 499,395 ETH worth $1.4 billion. According to the blockchain analytics platform Lookonchain, the hacker successfully laundered the stolen funds. The incident raised concerns across the cryptocurrency industry, with Binance’s founder, Changpeng Zhao (CZ), emphasizing the importance of exchange security.
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Binance Sees Massive Inflows Amid Market Uncertainty
DefiLlama reported that Binance attracted significant market funds following the Bybit hack, demonstrating its resilience during volatile periods. The exchange’s February monthly inflow was recorded at $5.323 billion, nearly matching the single-week inflow it received post-Bybit exploit. Meanwhile, the following nine major trading platforms collectively secured $1.229 billion, with Bitfinex leading at $768.19 million.
Binance’s net inflows have consistently exceeded $3 billion in six of the past twelve months. In November 2024, the platform recorded a peak inflow of $9.2946 billion, marking the highest in its recent history. The latest surge in inflows highlights Binance’s dominance, as traders seemingly move their assets to a more secure exchange amid concerns about cybersecurity threats.
CZ addressed the situation by reiterating Binance’s commitment to security. His brief but firm statement, “Security first,” resonated with the broader crypto community. The last major hack Binance suffered was in October 2022, when $570 million BNB was stolen from the BSC Token Hub cross-chain bridge. Despite the rare security breach, Binance remains the preferred exchange during uncertain times.
The Bybit hack has once again underscored the importance of exchange security in the cryptocurrency market. With increasingly sophisticated cyber threats, traders and platforms are urged to prioritize robust security measures. Binance’s ability to attract billions in inflows following such an event reflects its standing as a trusted platform within the crypto ecosystem.
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