Changpeng Zhao reacted to the situation, saying, “An exploit on a cross-chain bridge, BSC Token Hub, resulted in extra BNB. We have asked all validators to temporarily suspend BSC. The issue is contained now. Your funds are safe. We apologize for the inconvenience and will provide further updates accordingly.”
Binance has temporarily suspended its BNB Smart Chain (BSC) following a suspected over $100 million exploit on its cross-chain bridge.
According to a Tweet from BNB Chain's official account:
“Due to irregular activity, we're temporarily pausing BSC. We apologize for the inconvenience and will provide further updates here. Thank you for your patience and understanding.”
It later confirmed that the irregular activity was a "potential exploit.”
Binance CEO, Changpeng Zhao, also confirmed the attack. He informed the public on Twitter that the Binance team had secured the systems, reassuring the safety of users’ funds.
According to CZ:
“An exploit on a cross-chain bridge, BSC Token Hub, resulted in extra BNB. We have asked all validators to temporarily suspend BSC. The issue is contained now. Your funds are safe. We apologize for the inconvenience and will provide further updates accordingly.”
They are also continuing an investigation into the chain's vulnerability.
Initial token movement suggested that the attacker targeted up to two million BSC tokens late Thursday, but the true losses could be much lower. BNB Chain estimated that between $100 and $110 million in assets were moved off-chain, but confirmed in a tweet that $7 million had already been frozen.
BSC stated that it arranged a chain shutdown after discovering issues with the BSC Token Hub protocol, which serves as a clearinghouse for crypto transactions moving between the interlocking parts of the Binance-linked blockchain. It expressed gratitude to validators for moving quickly.
According to the BNB Chain:
“We're humbled by the support, hard work, and dedication from the community of which we are proud to be a part.”
However, many crypto users are questioning Binance Chain’s decentralization as reactions trail the suspension of BSC transactions. Crypto Analyst, Dylan LeClair, took to Twitter to point out how the move portrays Binance and its blockchain as a centralized platform under the guise of decentralized finance.
According to Dylan:
“$600 million hack of BNB, and Binance has decided to halt BSC (Binance Smart Chain). [De]Centralized finance.”
