21Shares: Bitcoin Fell Only About 2% After Binance Hack, Far Below the 26% Drop After FTX

October 31: 21Shares released an analysis report on the Binance hack, saying that Binance suffered an attack of about $6.3 billion on October 29, that roughly $3 billion of the stolen assets has now been frozen, and that Binance has pledged to bear all losses. Within 24 hours of the incident, bitcoin fell slightly more than 2%, well below the roughly 26% drop bitcoin saw after the FTX collapse in November 2022. 21Shares stressed that the incident was a security vulnerability at Binance alone, and that the Bitcoin network itself was not attacked.

The report noted that Binance said it will cover all losses through the SAFU fund and company funds. At a bitcoin price of about $78,509, the 15,000 BTC held by the SAFU fund is worth roughly $1.18 billion, which can cover about 36% of the losses on assets that remain unfrozen, with the remainder to be borne by company funds.