Binance reopens withdrawals after hack; users pull out net $3.64 billion

Cryptocurrency exchange Binance began letting customers withdraw their money again on Sunday, November 1, 2026, days after a record $6.3 billion hack froze withdrawals, and customers moved a large sum out. Binance said it processed about $4.65 billion in withdrawals and $1.01 billion in deposits between 06:00 and 15:30 UTC on November 1, a net outflow of about $3.64 billion, which it put at 2.1% of the assets it holds for users. Before reopening, the exchange said it had replaced 95% of the stolen tokens by buying them back with its own money, up from 90% a day earlier. Searches such as "buy bitcoin binance" are trending in India as users check whether their funds are safe.

When an exchange is hacked, the question every user asks is simple: can I get my money out? After the hack last week, Binance customers could not withdraw for several days. Reopening withdrawals is the real test of whether an exchange can pay everyone it owes, and the first day showed that many people wanted out. A net $3.64 billion leaving in under ten hours is a large sum, but Binance's own figures say it was about 2.1% of the assets it holds for users, and the company said withdrawals surged at first and then slowed.

The difference between "replaced" and "recovered" matters. Binance has not said it has got the stolen coins back from the attackers. The FBI earlier blamed North Korea's TraderTraitor group for the theft. Instead, Binance used its own reserves to buy equivalent tokens so customer balances are backed again. That protects users, but it drains funds that exist to absorb losses, which is why the exchange now plans to rebuild its SAFU emergency fund.

For young Indians who use crypto apps, the episode is a lesson in how custody works. Coins held on an exchange are, in practice, a promise by that company to pay; if the company is hacked, users depend on its reserves and its willingness to cover losses. Crypto balances on an exchange are not bank deposits, so the deposit insurance that covers bank savings does not apply to them.

Peepals calculation: if $3.64 billion is 2.1% of assets under management, Binance's user assets come to roughly $173 billion ($3.64 billion ÷ 0.021 ≈ $173 billion). Withdrawals were about 4.6 times deposits in the first window ($4.65 billion ÷ $1.01 billion ≈ 4.6). At 95% replaced, about $315 million of the $6.3 billion stolen was still to be covered on November 1 ($6.3 billion × 0.05 = $315 million). Our calculation from the reported figures.

Short-term: Users can again withdraw major coins, and the pace of outflows over the next few days will show whether confidence is returning. Some tokens remain partly restricted until the second phase opens.

Long-term: The hack and the cost of covering it are likely to shape how regulators view exchange reserves and insurance funds, and how users decide between keeping crypto on exchanges and in their own wallets.

Who is affected: Binance customers worldwide, including Indian users, crypto traders, other exchanges watching for knock-on effects, and regulators supervising crypto platforms.

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