Binance Co-Founder Refutes $1M Trading Loss Responsibility

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As an experienced cybersecurity analyst, I cannot help but feel deeply concerned and sympathetic towards the Chinese Binance user who suffered such a substantial loss due to a malicious Chrome plugin. The incident serves as a stark reminder of the importance of digital security in the age of cryptocurrencies.

As a researcher studying the cryptocurrency market, I can share that Binance, a renowned cryptocurrency exchange, has addressed a distressing incident where one of its Chinese users reportedly lost approximately $1 million worth of cryptocurrency assets from his account due to a security breach.

Based on Binance’s co-founder’s explanation, the occurrence was caused by a user’s computer being hacked, enabling the intruder to exploit a harmful add-on and swipe login information.

A Chinese user on Binance suffered a significant loss of $1 million in cryptocurrency as a result of a security incident instigated by a harmful Chrome extension. The cybercriminal manipulated the user’s web cookies, circumventing the requirement for passwords and two-factor authentication, and employed “counter-trading” strategies to empty their account.

I, as an analyst, can attest that Binance promptly addressed a user’s security concern related to the AGGR plug-in within 1 minute and 19 seconds of receiving the request, despite not having received any prior warning about this issue.

The platform explained the complexities involved in investigating cross-trading activities, attributing the delay in response to the necessity of meticulously scrutinizing and confirming suspect accounts and transactions with multiple counterparties.

Additionally, Binance explained to the affected user, “We understand your frustration, however, based on the information gathered thus far, it appears that the cause of your asset loss was due to unauthorized access resulting from the installation of harmful add-ons on your related devices.”

With over 8,000 transactions involving approximately 1,600 counterparties to analyze, Binance’s security team encounters a significant challenge. This process necessitates comprehensive data extraction and examination. Regrettably, our customer service team does not possess the necessary investigative authority, resulting in response times of up to one business day.

I’m currently observing that Binance is taking rigorous measures to enhance its system security. The primary focus is on securing login status storage and identifying suspicious trading activities. As a user, it is recommended that you utilize the authentic Binance app or a clean web browser for accessing your account. Additionally, make sure to log out each time you finish using the platform to minimize the risk of unauthorized access.

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2024-06-03 21:56