Crypto Security Losses Hit New High; After Binance Incident, Grayscale Says Exchanges Will Strengthen Security

Odaily reports: According to monitoring by Zach Pandl, Grayscale research director Zach Pandl analyzed that over $6 billion in assets were stolen from Binance in October, pushing crypto security losses in 2026 past $8 billion to a new record high; excluding this incident, 2026 losses would be comparable to last year. Crypto security losses as a share of total market capitalization have long been on a declining trend. Pandl said Binance has quickly restored customer positions, with 95% of affected assets now fully replenished; the remaining 5% consists of less liquid tokens that will take longer to process, and Binance customers will not bear losses. About $2.9 billion, roughly 45% of the stolen funds, has been frozen by stablecoin issuers such as Tether and Circle, and these funds are expected to be returned to Binance. Pandl believes the incident may temporarily hit market confidence, but will ultimately prompt all exchanges to strengthen security practices and highlight the importance of institutional custody.