Binance co founder disclaims accountability for $1M trading loss in compromised account

Binance co founder refutes accountability for $1M trading deficit in compromised account

Crypto News– The co-founder of Binance, a cryptocurrency exchange, has rejected accusations suggesting that a security breach on the platform resulted in a $1 million crypto loss from a single user’s account. In a statement on June 3rd, he emphasized, Take a closer look; this user’s account was compromised due to their own computer being hacked; they are beyond help. Following the breach, the hacker couldn’t directly withdraw funds, so they opted to sell the victim’s coins, resulting in trading losses.

On the same day, a crypto trader named Nakamao claimed to have lost their entire account balance through what they described as counter-trading, without the hacker needing their Binance account password or two-factor authentication details. Later on, the security firm informed me that the hacker was manipulating my account by hijacking my web cookies, explained Nakamao. They elaborated that after breaching the account, the hacker purchased corresponding tokens in the USDT trading pair with ample liquidity and set limit sell orders surpassing the market price in BTC, USDC, and other trading pairs with limited liquidity.

Look closely; this user’s account was breached because their own computer was hacked; they are a lost cause. After the hack, the hacker could not withdraw funds, so the hacker sold the victim’s coins, which led to trading losses.

Binance co-founder

Afterward, the hacker initiated numerous leveraged bets against a counterparty, resulting in nearly $1 million in losses when the trades didn’t pan out as expected. Nakamao alleges, Throughout the entire ordeal, I didn’t receive any security notifications from Binance.

She, a former Chinese TV host, is currently one of the two women leading the world’s largest cryptocurrency exchanges, alongside Bitget’s CEO, Gracy Chen. In April, she stated that her spouse, Changpeng Zhao, the co-founder and former CEO of Binance, received the ‘most favorable outcome’ in his United States sentencing on money laundering charges.

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