Binance APAC Head SB Seker Highlights Ecosystem Responsibility Following Cyberattack

Security against cyberattacks is a shared responsibility across the entire ecosystem rather than the burden of a single actor, according to SB Seker, APAC Head of Binance. Speaking at the Indian Blockchain Week event, Seker addressed the recent cyberattack experienced by the exchange, which impacted over $6.3 billion in assets.

Seker noted that collaboration with ecosystem partners—including other exchanges, blockchain analytics companies, and global law enforcement—has enabled the recovery of more than half of the affected assets. He described the incident as a complex detection vector and stated that a detailed technical security audit will be published in due course.

Addressing the financial impact on users, Seker highlighted Binance's commitment to backing the incident using company assets, drawing from a combination of CFO funds, futures insurance, and corporate funds. As of October 31, the platform replenished 90 per cent of the impacted assets. The remaining 10 per cent consists of illiquid assets sourced from the open market, metacoins (MTCs), and other exchanges. Seker reiterated that no user assets were impacted and that the company covered the necessary losses.

On November 1, Binance shared an FBI report attributing the hack to North Korea. According to the FBI, malicious cyber activity referred to as 'TraderTraitor' involved actors converting stolen assets primarily into Ethereum (ETH), which were subsequently laundered using decentralized finance (DeFi) and instant swap services.

Discussing regional operations, Seker identified India as one of the two most critical markets in the APAC region, alongside Korea. He stated that Binance aims to secure a license in India when the region transitions to a full licensing model, affirming that the company continues to move forward in the market.

On the topic of stablecoins, Seker observed that they have scaled to become a feature of global payment settlements for both retail and corporate treasury levels. Regarding India, he noted that the country will need to determine its approach to a digital rupee stablecoin, balancing decisions between a central bank digital currency (CBDC) style walled garden instrument, a public instrument, or a privately issued rupee stablecoin.

"The approach taken by Binance following the cyberattack highlights the critical importance of robust incident management, transparent communication, and cross-ecosystem collaboration in the digital asset sector. As regulatory frameworks evolve in key markets like India, digital asset platforms must prioritize compliance, user asset protection, and proactive stakeholder engagement to build long-term market trust and operational resilience." — Dr. Shishir Gupta, Founder & CEO, StartupLanes