Bitcoin Forum

How can you say Binance is not safe anymore where it's not proven that those data are stolen from Binance?

Their story of phishing is reasonable to believe, but of course, it needs proper investigation, likely from a 3rd party to find out which is really happening with those leaks. If there's no one except Binance who investigate their own case, it's possible that every finding won't be revealed 100%. No doubt about it.

Absolutely! No exchange is totally safe anymore and none will ever will including the mighty Binance exchange! but I guess we cannot arrive on any conclusions just yet pending a thorough investigation on  this matter. Sooner or later, the truth will eventually come out and then we could assess the integrity of Binance exchange but until then, we should be updated with latest news about this matter and be always be vigilant  in terms of our own security in this digital world. Imho.

It wouldn't even surprise me if this turns out to be a competitor trying to make them look bad. The competition between the countless services within crypto can turn real ugly real fast.

It's not a secret that a few exchanges are trying to benefit from Binance's US exit, and why not go a step further? OKEx has been very friendly towards BSV right after Binance's delisting announcement.

If we go back in time a bit, CZ actually worked for OKEx but ended up leaving to compete with them. It's somewhat of a conspiracy theory, but not completely unrealistic after their sudden BSV support hoping to onboard their users.

That would be an unprecedented bit of shenanigans, I think.  I did not see the data that was leaked, but it sounds like it consists of a bunch of selfies holding ID if I'm reading this right, and that would take a lot of work for even the most dedicated saboteur.

More likely Binance did get hacked or otherwise had their customers' data leaked from the inside.  I'll definitely be watching this story unfold.  But hey, this is the company that had 7000BTC stolen from them, right?  Obviously there are security issues they might not have fully addressed if this all is true.

Some are safer than others, though.  I kind of thought Binance was fairly safe, but this kind of throws everything in doubt.

I think it would be very smart for investors to have some reservations against CZ & other Binance spokespeople, and not buy into their well oiled propaganda machine so haphazardly...

Binance has a very active presence on all social media, and they immediately block and silence most dissenters, so it would stand to reason there might be a discrepancy between the philanthropist impeccable self-image they are depicting vs reality.

This is one of the reasons why I am against the mandatory KYC verification. Now only god knows what these hackers are going to do with all those ID cards. BTW, there is something seriously wrong with Binance. This latest incident comes just a few months after some hacker stole BTC7,000 from their hot wallets. If I was a Binance user, then I would not keep any of my coins there.

Every time you KYC you rick that those information's will at some point in future, it can happen 10 years from now, leak out. Someone can steal them or even they can sell them. And this not only at crypto exchanges but everywhere you KYC. And you do a lot from time you entered kindergarten.

This is a rare case and I think hackers have released fake news and created FUD, then they will buy BNB for a cheap price.
because if they hacked Binance's security system, they had all the KYCs for many days, not just February 24, 2018.

There is no more trust in exchanges, since they no longer have anonymity.
It is better to use decentralized exchanges where reliability and anonymity are at a high level, but could not do without minuses, for example, weak trading on currency pairs.

Back to back issues with Binance?This isn't good for the exchange. 7k BTC hack plus this KYC leak? One more issue and this exchange popularity would go down for sure.

They had been investigating but expect that results or reports wont really be completely disclosed,for sure there would be informations would be hidden specially they are the ones who do make investigation.

Government wants companies to know their customers, they open all gate for illegal things and they clearly know it, that's where money is created. Binance had a lot of KYC documents, didn't they know that it's important to protect users data? Yes, they knew but at the same time they knew that data costs money, a lot of money. Let's form it as a leak or hack and sold for solid profit, we will do illegal thing with legal reason and earn a lot of money, so why not? <-- That's the thought of Binance.

Stop with the FUD argument, it's been proven that those faces are real and it did come from Binance, whether it was hack or came from a third party.  I know crypto journalism is pure of garbage, but this article is very interesting to read, https://www.coindesk.com/a-bitcoin-extortion-gone-wrong-inside-binances-negotiations-with-its-kyc-hacker

Binance claims that the selfies posted were obtained from a third party they outsourced the KYC verification part to. I don't have much reason to question that given how large Binance is and how many new users they onboard.

The only question is how the hacker managed to gain access to the servers of this third party. It could just as easily be a bunch of Indians they hired to do this work, which isn't that uncommon even for large tech corporations.

I think the real problem turned out to be that during the time binance used a third party organization for KYC procedure they were hacked, not binance itself by the way, the company they worked with on KYC got hacked and information during that time got hacked from that company that was supposed to be binance users. It does relate to binance because they should have picked a better company but at the same time that shows binance wasn't hacked it was another company binance worked with and that allows us to have a trust on binance once again.

It doesn't matter if they get hacked or not they eventually make it back when it is about money, you can literally get destroyed if your KYC gets stolen though, bad people would be more than willing to spend 300 bitcoins on getting 10k+ KYC information since that would allow them to money launder so much more easily.

How can they be so irresponsible? KYC verification is such a secure process and it should be done by the Binance staff. Now it looks like they had outsourced it to the lowest bidder, with scant regard for security of the users. This one incident is enough to trigger a customer boycott of Binance. I never had an account with them, and in the future also I will never consider opening an account there.

Indeed it will surely raise some cloud of doubt from the crypto-community and Binance is in some kind of a dilemma right now since the burden of proof - "that no intrusion happened" rest on their shoulders and they should  prove it convincingly! I do hope they can mitigate the side effects of this issue and resolved it accordingly which kind of remind me of Mt. Gox incident which is quite scary. :)

What are you talking about? In Facebook you won't find the scanned copies of Passport and drivers license. If anyone is so irresponsible to post them in Facebook, then obviously he needs to face the consequences. The problem here is that ordinary users, who would be otherwise careful about their privacy were forced to send the scanned copies of their ID documents to Binance.

OH MY GOD, not again, I guess that there I someone that is really out there to destroy Binance by all possible means, and Binance needs to be extremely cautious, since they didn’t succeed in bringing them down through their exchange wallet from the last fund they stole, and I guess that they have seriously tightened their security for wallets, which could be why the hacker decided to attack their data database.

I just  pray and  hope that this is not true because this will really be a blow to them the second time in a year. Let wait for them to make their investigation and we see if it is real or not, if this information giving here is real, Binance might just be on its way to losing its relevance for life, it shows that they can no longer be trusted then with their security.

Hmm, Binance were hacked in the previous month so KYC leak is very possible.  I do no think this one is just a FUD, though I will be watching how this issue will unfold.  Lucky I did not undergo KYC in Binance exchange so I do not need to worry about this leak.

KYC and the issue of privacy has always been a big headache to most crypto users due to the high incidence of identity theft. Binance is a strong name when we talk of exchanges so we expect  them to protect their users with the best possible form of security and technology available. Let's hope the situation is not as serious as speculated.

If people can hack wallets, they usually hack other stuff while they are at it.

As soon as the original hack occured, people should have changed all their passwords and stuff.

Poorly run exchanges are the weakest aspect of the crypto space.

These type hacks killing many users and we have some big lots in past I personally lost some big and good amounts just because of these hacks now time for them to do some serious work about this otherwise its going to be hurt too much and we are going to lost some good numbers of investors.

This time it reached the public but it is more concerning if the same is happened with other exchanges and we are not knowing about it. Leaks like this could be way more destructive then hacks where coins/tokens are lost.

It is totally going to be an FUD and I would not think that Binance will be that careless to allow such thing to happen, yes they were once hacked, and everybody knows that which they have fix whatever big that is on their platform that made them vulnerable to attack, if they have hired super security experts to block all loop holes, there is absolutely no way that their data database will be hacked.

Those faces you are seeing there, what if they were just trying to frame Binance up because there is nothing that people cannot do just to discredit the project of another, and just like you said, we will keep our fingers crossed and be watching as thing unfold, they are already under investigation, and I bet that nothing of such would be found on them, it is just  a way to create dump for BNB.

What is the latest on this?  Has the hack been confirmed? 
 You sure most crypto people even care about their personal information being stolen?  I honestly will be very worried if my identity is leaked on the web. It can leave people more vulnerable than having few bitcoin stolen.

So what's the update of their investigation?

We have different sentiment in the space, some believes that the news is true, some KYC information has been leaked and that should be the job of the Binance exchange to keep it safe and private, we as users of the site entrusted them our info but if we mess with us, they should be wary of their future.

I don't think it matters much what the update of their investigation is since they are motivated to brush it off as fake, old or not relevant.

The lesson that this event should have taught people is that these unregulated exchanges and their third party KYC desks can't be trusted with your information. People were already talking about the risks of this to eventually happen, and now we see that it happened for real. Who knows what weirdos on the dark net are doing with these ID's as we speak.  :-X

People on social media have already confirmed the legitimacy of the leaked ID's and whatnot. Binance messed up big time.

Can't believe all this BS!!!!

Do you really think that cryptocurrency users don't care even if someone steal their personal information? That is the most ridiculous thing I have ever heard. Identity theft is a big issue these days and if some criminal get hands on the scanned copy of your passport, then he can use it for countless criminal activities. And in the end you will get framed for it.

I have been saying for many years that KYC must be done only if it is extremely necessary. Don't do KYC in any exchange to trade your $10 worth of tokens that you received from the bounty campaigns. Apart from the risk from hackers, it will put you in the government watch list as well. A thing to avoid, if you are residing in any of the countries that are hostile to crypto.

The moment Binance was hacked and millions of dollars were lost because of their inefficiency you should consider more bad things were bound to come out in the future, i never traded in binance after that because you never know when they will shut down and freeze all the accounts and then we have to wait for the legal battle to get our coins and we all know that it would take years, the owner can tweet a thousand times that it is SAFU because it will hurt his business, with time we might see the extend of the damage, legal actions are to be taken if they are not capable to taking care of sensitive information and i am not happy with the way things are going.

As much as I wanted that legal means should be taken, but I do think that this could be settled out of court. Its Binance fault here, they should have taken steps to protect their customers. But they are still on top of the business so probably thinking of another way to get out of this mess by cooperating and then settling with their customers for damage control  ;)

So far this is the damage control they have done, Binance offering up to $290,000 bounty to catch cryptocurrency KYC extortionist (https://thenextweb.com/hardfork/2019/08/07/binance-290000-bounty-cryptocurrency-extortionist/).

Take note they used the word extortionist because,
An Extortion Gone Bad: Inside Binance’s Negotiations With Its ‘KYC Leaker’ (https://www.coindesk.com/a-bitcoin-extortion-gone-wrong-inside-binances-negotiations-with-its-kyc-hacker)

I feel pity for those crypto enthusiast who have been exposed in this hack, it is really a tragedy and I would have that a legal actions should be taken against them by the victim because of their mis management.

That's the thing traders should do in their exchange, but how can they know if their KYC information is part of many information that was leaked? That is a big challenge actually but there is a solution to that, they should seek help by the government as I think Binance being the biggest exchange in the crypto space is regulated by the government and the government has the right to conduct their own investigation basing on the report about the leaked info.

Welcome to the world of fake Safu and outright lies of Changpeng Zhao who always have business interest in mind rather than taking take of their security, the way in which he dealt with the hack was outrageous and i am not sure about the legitimacy of these KYC leak and if that happened it is a serious issue as the people who filled out their KYC are big traders and it is a direct threat to their privacy and property.

If the customers sensitive details are leaked then what kind of damage control they can do  :), will they give personal protection to the people who traded huge amounts in binance, if the hackers got hold of the KYC details i am sure they have more sensitive information than that like an individual users trading volume and what coins they are holding and now they have their home address, what do you think will happen, we have already heard criminals holding families at ransom and extorting bitcoin in the UK, so it is not a simple case that can be settled easily out of court.

If they have a way of killing the news, they would do it, but I doubt if it is really true or a serious matter, maybe someone was just trying to create news that will make the value of their coin go down so as to be able to accumulate much of the coin that is fast growing. I believe that Binance will not make that mistake again of letting their system to be loosed again for hackers to hack in after what happened to them the last time which I believe that they have still not overcome yet.

To lose $41 million dollars is not a child’s place and playing with people’s data could seriously land them in a bigger debt like Facebook is paying dearly right now for the one they still have as case with the federal government, and I think that they will be paying 5 billion for that one.

I think binance is quite safe still because the hack was made to a third party organization that helped binance during their early days for KYC, which means they picked a wrong company to work with thats true but they are no longer using that service and doing it themselves and that hasn't been hacked yet.

Binance has never been safe because ever since they started there has been api hacks that saw some coins got pumped 700%+ in order to make profits, there has been a 7000 bitcoin hack and god knows how many other times I am missing but at the end of the day they are giving back the money people lost anyway and that means they are safe thanks to the security levels they have put in place. How many other places could survive 7000 bitcoin hack without a scratch, that is why I would still trust them.

Compensating the affected users of such 7k btc hack is a good move but we cant really avoid the fact that this had tainted their reputation.Binance is known to be one of the best exchange as of this moment which means when it comes to security then they are tight enough until issues pop out about that btc hack then later on
the KYC leak is next.You cant stop people to believe into this exchange when it comes to security but we can eventually see Binance effort to make things being solved out.

It's normal to have a trust issue towards Binance since they are lacking a security from hackers. However, I will still use Binance since none of users get their wallet hacked as of now. Those BTC7k was from Binance funds, not from users' funds. On the other hand, it's better to just wait for the result of their investigation and don't submit any KYC requirement as it's still necessary to trade there without requiring to be a KYC approved.

Are you saying that there are no user funds on Binance hot wallets? How do you know that btw?

Agree, better not to do any KYC on any exchange from now on unless you can't avoid it. People should've learned from various hacks that there are no 100% secure cex. Binance included. Don't worship Binance as if they can do nothing wrong. Better safe than sorry.

This disclosure KYC took place last year and some people have witnessed this for a long time. I think these are some of the ingredients that use these materials to make FUD lower.
We should be careful and keep the mentality to trade BNB now. Don't let FUD mess things up.

I don`t remember that Binance had that problem last year. They had problem with hack, but with kyc leaking not. Even this time they didn`t say much about it, except it`s a FUD and they will investigate it. Why would anyone bother to investigate fud? Someone even asked that on their twitter page but I don`t remember did they give any answers on that.
Binance is a huge company now, every huge company have problems with leaking. It`s happened before, it will happen again, don`t doubt in that. If you wish to stay protected, simply don`t share your personal info with anyone.

Firstly, the topic used by the OP is confusing "Binance not Safu Anymore" whereas what happens is different after I make a few research I find out that those whose private information were leaked actually don't take the necessary precaution by falling for a fake telegram group whose purpose was to steal peoples ID card, credit card number etc.
In the meantime, I'm sure binance to take the right measure about the investigation.

I think no one is really safe from these kind of hacking or phising links because they are always one step ahead in technology and they can even successfully hack a well-guarded exchange. Binance is one of largest cryptocurrency exchange and the most profitable so it is always a target by those who want to get a significant share of their fund through illegal means. Binance should fully investigate this 'KYC leak' because it might cause a serious damage to their exchange's future operation.

The fund was actually from user’s fund, just that it was targeted at some account, maybe those accounts that has those bugs that could make them crack the wallet through Binance, that is why they made refund of the $41 million, if it was from their own personal account, they would not have had to refund anything again, but let’s keep that aside, that was just a onetime mistake.

I am sure that they have put everything in control, and when this issue of second hacking of data came, I really doubt the truthfulness of the news, and I dint think that they will be that loosed again to allow a loophole in their data system, except maybe they never imagine that someone could be interested in the data, and if that case was real, then some people may have deliberately done that.

They have been investigating the leaked and hopefully we can see a result of their unbiased investigation which we cannot guarantee since they are the one who are doing the investigation, they have the right to hide information that might ruin their reputation and maybe publish a false information to ensure people will still have the trust and confidence using the site but it's up to us now if we still trust the site after all the recent hacks from this exchange. 

I am sure binance will solve the problem because binance concern with their members and they want to give the best service to us. We don't know if the leak of the data is from the binance because binance still investigate that. I am sure that soon, binance will release news and they will explain what is going on with their customer data. Binance is a big exchange, and it is not easy to gain trust from their members, but they can do that with the hard work. That makes me believe that binance will do their best to get the answer.