Cryptocurrency exchange Binance has confirmed a "large scale" data breach in which hackers stole more than 7,000 Bitcoins (around $40 million) in cryptocurrency.
In a statement company said hackers stole API keys, two factor codes and other information in the attack.
Binance issued following statement:
"We have discovered a large scale security breach today, May 7 2019 at 17:15. Hackers were able to obtain a large number of user API keys, 2FA codes, and potentially other info. The hackers used a variety of techniques, including phishing, viruses and other attacks. We are still concluding all possible methods used. There may also be additional affected accounts that have not been identified yet."
"The hackers had the patience to wait, and execute well orchestrated actions through multiple seemingly independent accounts at the most opportune time. the transaction is structured in a way that passed over existing security checks. It was unfortunate that we were not able to log this withdrawal before it was executed"
"Once executed, the withdrawal triggered various alarms in our system. We stopped all withdraws immediately after that," the statement added.
Binance said that it would cover any losses in full using its Secure Asset Fund for Users (SAFU), and insurance reserve setup for this type of situation.
Until the company's investigation is complete, deposits and withdrawals will remain suspended but trading will remain open.
https://www.binance.com/en/blog/332782515450425344/AMA-with-CZ-%7C-May-8-2019