Ethereum
On Oct. 29, 2026, more than $2 billion worth of Ethereum and assorted tokens were transferred from Binance hot wallets to a newly created address linked to the privacy mixer Tornado Cash.
The first leg of the movement occurred at 20:24 UTC when Binance wallet 14 sent 167,464 ETH (about $388 million) and roughly $1.6 billion in USDT to the address; 24 seconds later Binance wallet 16 added another 28,005 ETH.
Within 15 minutes the receiving address dispatched 195,460 ETH (≈ $450 million) to a second fresh address while still retaining about $1.5 billion in various tokens, indicating rapid consolidation of the funds.
Tree News, citing on‑chain analysis, estimated the total outflow across more than 60 tokens at $2.53 billion and described the incident as a suspected key compromise, noting that the address had been seeded with three small Tornado Cash deposits of roughly 0.1 ETH each on Oct. 28‑29.
Binance has not confirmed whether any customer deposits were compromised, leaving the exchange’s risk exposure and potential liability unclear.
Ethereum’s price was down 3.5% over the past 24 hours, trading at $2,287 at 21:23 UTC, a movement that may reflect heightened uncertainty following the large‑scale transfer.
The market will likely monitor further on‑chain activity from the fresh addresses, any official response from Binance, and potential regulatory scrutiny of Tornado Cash‑related flows as indicators of broader risk.
This story was compiled by the Tradexus News Desk with the help of AI.
