The Binance hack has collided with a major political surprise. In the same week that the world’s largest crypto exchange reopened withdrawals after the biggest theft in crypto history, US voters handed Democrats control of both the House and the Senate. In short, the two stories are moving crypto, the dollar, bonds and gold.
Inside the Binance Hack
About $6.3 billion left a Binance hot wallet between 20:05 UTC on 29 October and 00:10 UTC on 30 October. The FBI has attributed the attack to North Korea’s TraderTraitor group, a claim Pyongyang denies. Binance says it began months earlier with a fake job interview.
Co-CEO Richard Teng called it “a campaign, built over many months.” In addition, he said no user would bear the loss, about 98% of affected tokens have been replenished with company funds, and around $2.85 billion of stolen assets has been frozen.
Frozen Accounts, Then Withdrawals Reopen
Binance suspended withdrawals for about 48 hours while it contained the breach, leaving users unable to move funds. After that, phase one reopened on 1 November, starting with bitcoin, with more assets following on 3 November. Even so, customers pulled a net $4.72 billion in the first days, roughly 3% of platform assets. Teng says hourly flows have “pretty much normalised.”
How Markets Reacted to the US Midterms
Overnight, US stock futures fell by as much as 2% on fears of tighter AI scrutiny, before edging back into positive territory. The dollar weakened broadly, lifting EUR/USD 0.4% to 1.133, while the 10-year Treasury yield slipped to 4.92%. Meanwhile, bitcoin briefly sank to about $75,700, then staged a V-shaped recovery above $78,300. Still, gold was the standout, with spot prices up about 3% to roughly $4,045 an ounce as the softer dollar and fiscal worries drove safe-haven demand.
What Traders Should Watch
Exchange risk is real. Even a well-funded platform froze withdrawals for two days. Therefore, spread your exposure and never keep more on one venue than you can afford to have locked.
Keep funds secure. The attack started with social engineering. For example, be wary of unexpected job offers and unknown software.
Choose regulated brokers. For forex, gold and CFDs, check licences, client fund segregation and support. Our broker directory and forex broker comparisons make that easier.
Key US Data Ahead
Next, US data now takes over. October jobs (NFP) land on Friday 6 November, CPI on Tuesday 10 November, PPI on Friday 13 November and core PCE on Wednesday 25 November, all at 8:30am New York time (13:30 GMT). However, hot inflation or strong jobs could lift yields and the dollar and cool gold and crypto; soft numbers could extend the moves.
In addition, ANC’s free education and community sessions walk through them step by step, and our IB programme helps partners keep their clients informed. For more industry news, see our look at MENA broker leadership moves.
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How are you protecting your funds after the Binance hack, and are you trading the post-midterm moves in gold and the dollar?
Risk warning: Trading forex, CFDs and cryptocurrencies involves significant risk and may not be suitable for all investors. You could lose more than your initial investment. This article is for information only and is not investment advice.
