Binance hack exposes risks for Nigerian crypto savers
By the AFREEQUE newsroom, based on Business Day Nigeria
Illustrative image · Bastian Riccardi · Pexels · Licence PexelsThe Binance hack, which resulted in the theft of $6.3 billion on 29 October, raises questions about the security of Nigerian cryptocurrency-platform users’ funds. Binance says it had recovered or covered 95% of the sums by 1 November and is preparing a gradual resumption of withdrawals, reports Business Day Nigeria.
The Binance hack, estimated at $6.3 billion, has renewed questions about the security of funds held by Nigerian users on centralised platforms. The 29 October attack emptied active wallets controlled by Binance across several blockchain networks and was attributed by the FBI to the TraderTraitor group, linked to North Korea, according to Business Day Nigeria.
Binance said it would cover the losses with its own funds and its SAFU protection fund. Industry partners froze around $3 billion in stolen assets and the platform said it had recovered or covered 95% of the sums by 1 November, before a gradual resumption of withdrawals. The incident particularly affects Nigeria, where cryptocurrencies are used for savings, international payments, remittances and trading amid naira volatility, inflation and foreign-currency shortages.
According to Chainalysis, cryptocurrency transactions in Nigeria reached about $59 billion between July 2023 and June 2024. The country ranked sixth globally for cryptocurrency adoption in 2025, with $92.1 billion in transactions in the 12 months preceding June 2025. A study by Quidax and IFS Insights indicates that 83.2% of Nigerian users surveyed favour centralised platforms. The Binance attack comes after the FBI attributed the hack to North Korea, an announcement made on 1 November in the Binance investigation.
