This week, the popular crypto market Cryptopia endured the first big security violation of all 2019, leading to"significant losses" of all crypto assets the exchange had saved. After the breach, social networking users started tracking the movements of their stolen funds and also alerted Binance CEO Changpeng Zhao the funds needed landed on Binance -- that the world's biggest cryptocurrency exchange by adjusted quantity based on CoinMarketCap.
Zhao and his trade have made a reputation across the industry as among the very safest and most secure exchanges, and were quick to react to this situation from freezing the stolen crypto. Zhao also took to Twitter to speak openly about overall safety in the cryptocurrency space, further cementing the him and his market's status as the director of security in the cryptocurrency industry.
Following New Zealand-based Cryptopia's security violation , hackers made off with a"substantial" number of cryptocurrencies, and also the hackers started moving into other exchanges in hopes of ditching the crypto assets for yet another in an attempt to conceal their tracks and eventually cash out the capital. However, keen-eyed social media users started tracking stolen Metal (MTL) on Ethereum's blockchain and alerted Binance CEO Changpeng Zhao the funds had landed Binance, and requested the influential people figure do it.
Mere hours later, Zhao responded to the request, assuring the user that his security team at Binance were able to"freeze a few of the funds"
"I really don't know why the hackers continue sending to Binance. Social media will likely be pretty quickly to report this, and we will freeze it. It's a high risk maneuver for these," Zhao added.
Even though Binance had already earned a reputation for safety and security within its exchange servers, the firm has since taken a tougher position against cyber criminals targeting crypto assets as whole. Not only was Binance able to suspend funds related to this new Cryptopia hack, but Binance CEO Changpeng Zhao has changed into a kind of protagonist within the cryptosphere, also took to Twitter to comment on general security in the industry.
Zhao pointed out that even storing crypto resources as someone has its pitfalls and hazards connected with it, such as losing your keys. He further suggested that saving cryptocurrencies on a market is not the safest option, either. But if a person is going to perform so it must only be about the"most trusted, recognized protected, exchanges." Eventually , he apparently urged moving to DEX exchange as the safest of choices, but later explained he had been promoting his company's own forthcoming DEX market and not to place too much weight to his"advertisement".
Regardless of his motivations, when Zhao talks about safety, the entire cryptocurrency community has been prepared to listen closely. His track record of keeping a safe exchange was highly publicized.
The young exchange had already become the target of cyber offenders throughout 2018, however, hackers weren't able to compensate with capital of any importance, and in some instances, Zhao claimed the hackers had lost some funds in the shuffle.
Binance also created a $10 million hacker bounty fund reserved for"future law awards against any illegal hacking attempts around Binance." The bounty's existence alone may be a deterrent for would-be hackers fearing retaliation in the crypto community.
Binance along with Zhao's track record of responding to all types of crypto-related safety problems, whether on their own exchange or when faced with problems coming from different exchanges, has rightfully earned Binance the standing of being the"keeper" of safety and security across the crypto industry.