A significant portion of Shiba Inu tokens, nearly 500 billion SHIB or about 0.05% of the total supply, has become the focus of concern following a major security breach at Binance. This amount, valued at approximately $2.3 million, was reportedly transferred to an address labeled “Binance Hot Wallet Exploiter 2”.
Large-scale crypto hack targets Binance
Binance, recognized as the world’s largest cryptocurrency exchange by trading volume, recently faced a security incident described by analysts as the largest hack in crypto history. According to blockchain analytics firm CryptoQuant, the breach began with a transaction on October 29, 2026, when the “Binance 14” wallet sent out 167,464 ETH, representing $1.6 billion in USDT as well as 63 other tokens.
Community member Mazrael, who has tracked the attack, stated that the hacker’s holdings amount to 499,926,072,560 SHIB. This figure is supported by data shared from Etherscan, a leading blockchain explorer for the Ethereum network.
Mazrael shared Etherscan data showing 499.9 billion SHIB, or 0.05% of the token’s supply, sits in the exploit address with an estimated value of $2.25 million.
According to Mazrael, the destination, called “Binance Hot Wallet Exploiter 2,” appeared as a new address with no previous activity. Etherscan flagged the address with tags such as “Exploit” and “Heist.” Besides SHIB, the wallet also contains sizeable totals of other assets including USDT, USDC, and ETH traced back to hot wallets labeled under Binance.
Mini dictionary: Etherscan, a popular blockchain explorer tool for Ethereum, allows users to track transactions, verify smart contracts, and monitor wallet activities in real time, making it a key resource during security incidents.
Investigation reveals attacker’s methods
Binance’s initial findings revealed that the breach involved a compromised DevOps engineer’s laptop. This compromise gave the attacker access to a service container, allowing unauthorized withdrawal transactions to occur. However, Binance stated there is no evidence suggesting a wallet private key was leaked during the incident.
Binance emphasized that despite the breach, user assets are covered under the Secure Asset Fund for Users (SAFU) and stressed, “user funds remain safe.”
Following the attack, Binance reported that about $3 billion in assets have been frozen on-chain as part of their ongoing effort to minimize losses. The company confirmed the overall estimated impact stood at around $6.3 billion and reiterated a commitment to reimburse all affected assets using the SAFU reserve and company funds.
After the news of the hack and the transfer of SHIB and other tokens to the exploiter’s address, Mazrael urged users to prioritize the security of their assets through self-custody. In his post, he warned, “Not your keys, not your SHIB,” highlighting a recurring lesson in digital asset security.
User funds and recovery efforts
The incident has renewed discussions around the convenience of centralized exchanges versus the importance of asset control. While exchanges like Binance provide ease of use, they require users to trust the platform’s operational security.
Binance continues to monitor the situation as law enforcement agencies and internal security teams work to recover stolen assets. The final amount permanently lost, as opposed to what has been frozen or recovered, remains uncertain at this time.
| Asset | Amount Stolen | Current Value | Status |
|---|---|---|---|
| SHIB | 499,926,072,560 | $2.25 million | Held by exploiter |
| ETH (initial breach) | 167,464 | $1.6 billion | Investigated |
| Other tokens | 63 tokens | Varied | Frozen/investigated |
