The world’s largest cryptocurrency exchange by trading volume, Binance is investigating a possible security breach after its founder, Changpeng Zhao, indicated that the platform may have been hacked.

In a post on X on Thursday, Zhao, widely known as CZ, assured users that their funds remained safe amid reports of billions of dollars’ worth of cryptocurrency being moved from Binance wallets.

“User funds are safe! It does look like a hack on Binance. Appreciate the quick freeze from Tether ($971m) and Circle ($823m),” he said in the post.

Zhao added that although he no longer oversees Binance’s operations, he expects the exchange to ensure that all customer funds are covered.

“I don’t manage Binance (.com) anymore, but as a shareholder, I expect all user funds will be fully covered,” he said.

In a separate statement, Binance said its teams were aware of reports of a possible security breach and had begun investigating the matter.

The exchange said its security teams were examining relevant information and would share updates through its official channels once the details had been verified.

“At this stage, we have not confirmed any impact to user funds,” Binance said.

The company also urged users to be vigilant against scams, advising them not to click on unofficial links, respond to suspicious messages or disclose account details through unauthorised channels.

The reported intervention involved USDT and USDC, the stablecoins issued by Tether and Circle, respectively.

Stablecoins are digital currencies designed to maintain a relatively stable value, usually by being pegged to traditional currencies such as the US dollar.

Their issuers can freeze tokens held at specific blockchain addresses, preventing the assets from being transferred.

The combined $1.79 billion reportedly frozen by the two issuers represents a significant intervention. However, the total value of assets affected and any actual financial losses have yet to be established.