World’s Biggest Cryptocurrency Exchange, Binance Receives serious Security Warning

Binance, the world’s largest cryptocurrency exchange has told users of its intention to investigate an alleged leak of their Verification data. This security leak could affect up to 60,000 Binance users with valid identification information. According to the company,

A hacker has claimed possession of 10,000 images of users that holds the exchange KYC (Know Your Customer Data). This data is a legal requirement by financial institutions for all trade, withdrawal and deposit request to be approved. in order to prevent money laundering and most especially fraud we make all our users verify their kyc. We were blackmailed by the alleged hacker who demanded 300 bitcoin from us, (Worth about $3.5 million at current bitcoin price)

However the Chief Executive Officer of the company Changpeng Zhao, known often as CZ, suggested that this threat was an attempt to damage Bianace and other cryptocurrency related businesses. He stated

There are some inconsistencies when we try to compare the hackers image to the data we have on system, and also there is no evidence that indicates that any KYC images have been obtained from Bianance.

This unknown hacker, created an anonymous group on messaging app Telegram, impersonating Binance’s CX, stating “by joining or spreading the link of the Telegram group, you are helping malicious hackers. what we should do as a reputable and trusted company is to fight them, stay on the good side and leave the group”.

Bianace has offered a reward of up to 25 Bitcoin, around $290,000 to anyone with any information that leads to the identification of this hacker.

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