Top crypto exchange Binance has announced plans to halt operation for about six to eight hours while it upgrades its system tomorrow. During this period, the trader won’t be able to make deposits, withdrawals or any trade.
A Response to Binance Hack
Just yesterday, Changpeng Zhao(CZ), the exchange’s CEO announced that the platform was planning to fully resume deposits and withdrawals today. A process which was suspended due to the hacking which took place last week, on May 7.
The hacking incident saw about 7,070 bitcoin (BTC) stolen from the exchange’s hot wallets. This was estimated to worth over $40 million at the time.
In the post announcing the system upgrade, it was stated that starting tomorrow May 15 at 03:00 AM (UTC), deposits, withdrawals and trading services will be halted.
The post also states that:
“Once the upgrade is complete, we will make a further announcement and provide users with a 30-minute window to cancel orders, process deposits, withdrawals, and use all other account related functions before trading resumes.
The CEO also confirmed this in a recent tweet which reads:
“During the trading halt, we will update no less than every 2 hours, as per usual.”
CZ and the Binance team has kept their post hack strategies under wrap mainly because the hackers are likely closely following the exchange’s public communications. So it is better to keep them in the dark as them knowing too much can lead to further compromise of the exchange’s security response strategy.
Since the hack took place, CZ has hosted a post-hack live AMA. There, he outlines measures being undertaken by the Binance team to prevent future security breaches briefly. He also hinted at some of some work in progress by the exchange.
Even with the widely publicised hacking incident, Binance still ranks high in the top exchange by trading volume list. According to the CoinMarketCap, the exchange currently sits in the second position.