- BNB bridge was targeted by attackers.
- SEC’s lawsuit against Binance begins to impact the exchange.
Binance has garnered massive attention due to the charges brought against it by the U.S. Securities and Exchange Commission (SEC). However, another nail struck Binance’s coffin recently.
Realistic or not, here’s BNB market cap in BTC’s terms
Attackers begin to lurk
Binance Coin bridge has become the victim of a recent hack. An attack on the BNB bridge refers to a security breach or unauthorized access to the bridge, which is a mechanism that allows the transfer of BNB tokens between different blockchain networks.
The attackers’ health rate was 1.18 on the Venus protocol. Venus is a lending and borrowing platform built on BSC. And health rate is a metric used to assess the overall health and stability of a user’s collateral position on Venus.
A health rate of 1.18 indicates that the collateral’s value exceeds the required threshold. This means that the position is considered healthy and stable.
When the price of BNB drops to $219.76, the attacker’s collateral position of 924,821.42 BNB, valued at $236 million, will be liquidated. As per Venus VIP-79, only BNBChain has the authority to liquidate the position of the hacker.
However, it is important to note that the actual liquidation may not occur immediately after the trigger is activated.
A similar attack occurred in October last year. The hackers targeted the BNB Chain cross-chain bridge and acquired 2 million BNB. They subsequently staked 920,000 BNB on Venus to borrow approximately $150 million in stablecoins.
SEC VS BNB
The attack, along with the ongoing lawsuit from the SEC, has significantly impacted Binance, causing immense stress to the exchange.
In a court filing, the SEC explicitly accused Binance of commingling customer funds amounting to “billions of dollars” and covertly transferring them to a separate company controlled by its founder and chief executive, Changpeng Zhao.
Is your portfolio green? Check out the BNB Profit Calculator
As a result, the exchange made some decisions concerning trading pairs available on its platform. Consequently, Binance US will remove numerous trading pairs and has temporarily paused the OTC Trading Portal.
