North Korea Denies FBI's Claims of Involvement in $6 Billion Binance Hack

North Korea has rejected allegations made by the FBI that it was involved in the recent $6.3 billion hack of the cryptocurrency exchange Binance. In a statement released through the Korean Central News Agency, Kim Yo Jong, sister of North Korean leader Kim Jong Un, criticized the U.S. for what she described as politically motivated accusations aimed at damaging North Korea's international reputation.

The FBI had attributed the attack to a hacking group known as TraderTraitor, which U.S. authorities believe is associated with North Korea. The agency urged cryptocurrency exchanges to block transactions linked to the stolen assets, which have been traced to specific wallets.

While blockchain investigators have noted similarities between this incident and previous North Korean cyber operations, North Korea's denial does not clarify who might be responsible for the hack. Kim Yo Jong suggested that the recovery of the stolen cryptocurrency could provide insights into the true perpetrators, although she did not present any evidence to support her claims of U.S. involvement.

This incident has raised concerns about the security of cryptocurrency exchanges and the complexities involved in recovering stolen assets. Binance continues to work on tracing the stolen funds and restoring user confidence amidst the ongoing investigation.

New Developments on Binance Hack

A wallet linked to the Binance hacker has transferred 8,567 SOL into Privacy Cash, a privacy mixer on the Solana blockchain, valued at approximately $798,000 at the time of the transfer.

This transaction was flagged by Onchain Lens on November 3, indicating an effort to launder stolen funds from the October 29 Binance hot-wallet hack, which resulted in approximately $6.3 billion in stolen assets.

Privacy Cash, launched in August 2025, operates by allowing users to deposit funds into a shared pool and withdraw to a different address, obscuring the link between deposits and withdrawals.

Investigators are closely monitoring these transactions as laundering patterns often involve splitting stolen assets across multiple wallets and utilizing privacy services.

The ongoing laundering operation suggests that the attacker’s activities are still active, raising concerns about the implications for both the market and privacy tools.

Latest Developments on Binance

On November 2, Binance announced the completion of a zero-knowledge proof-of-reserves procedure for a snapshot taken on October 31, following a security incident in late October. This proof of reserves included ten major cryptoassets such as Bitcoin, Ether, and USDT, and the affected asset replenishment program had reached approximately 95% at the time of the update.

Binance emphasized that proof of reserves should not be seen as a full financial audit or a guarantee against losses. The company plans to publish another snapshot on November 4, with the proof process expected to take around 40 to 50 hours.

It is important to note that while the proof of reserves provides a checkpoint for customers, it does not certify the reliability of withdrawals or prevent future attacks. The assessment of reserves must be combined with operational security and incident disclosures for a comprehensive understanding.

Latest Update

Binance has stated that the delay in fully replacing the stolen assets from the hack is due to thinly traded tokens. The exchange reported a 5% replenishment gap attributed to these less-liquid assets.

On November 3, Binance plans to progressively reopen withdrawal routes as part of its recovery strategy.