After a Tough Week, Binance is Set to Improve Its Security to Fight Back Hackers

By Kapil Gauhar

Binance, the leading cryptocurrency exchange, has had a tough week, no doubt. But, they recently came up saying that they are taking a look at their security after they lost $40 million worth of Bitcoin (7,000 BTC) in a hack earlier this week.

There will be a few major changes to its withdrawal validation, application programming interface and two-factor authentication systems. Changpeng Zhao, the Binance CEO, said in a blog post published today.

“We are making significant changes to the API, 2FA, and withdrawal validation areas, which was an area exploited by hackers during this incident. We are improving our risk management, user behaviour analysis, and KYC procedures. We are working on more innovative ways to fight with phishing. We also have a number of additional security measures being implemented not directly visible on the front end.”

Also, Binance will be taking some steps about some of the estimates within this week and the upcoming weeks for resuming services as soon as possible.

Zhao, in terms of the stolen Bitcoins, said –

“Impact-wise, the single BTC transaction of about 7000 BTC is the only transaction in which funds were stolen, and it’s quite simple to verify this on the blockchain. There are many community experts watching every Binance wallet. We are still investigating all other areas of the system to ensure no stone is left unturned. Furthermore, we are working with a dozen or so industry-leading security expert teams to help improve our security as well as track down the hackers.”

What was good to hear about was that the Binance team was not put down by the events with Changpeng Zhao saying –

“Mentally, the Binance team is not sad or depressed; on the contrary, we are in fighting mode. This event has further united an already tight team. We have received tremendous support from our community and we are humbled by your support. We will continue to fight for all of us, the community, against hackers and people with ill intentions. I believe this incident, while damaging us now, will actually make us far stronger and more secure in the long run.”