On October 30, 2026, Binance co‑founder Changpeng Zhao (CZ) publicly asked Elon Musk to stop “trolling” the exchange after a multi‑billion‑dollar hack, pointing to Binance’s ownership of SpaceX shares valued at over $1 billion. The exchange, which suffered a $6.4 billion loss – the largest in crypto history – said it has set aside more than $6.34 billion in company funds to cover the breach.

SpaceX stake becomes a bargaining chip

CZ’s X post referenced Binance’s $500 million investment in Musk’s 2022 Twitter acquisition, now tied to SpaceX equity he calls “SPCX shares.” According to the post, those shares are worth “more than a billion” and were highlighted to reassure Musk about Binance’s financial health. Binance co‑CEO Yi He later clarified that the company’s annual revenue is sufficient to absorb the losses, so there is no immediate need to liquidate the SpaceX holding.

Details of the hack and recovery efforts

The theft, reported on October 29, involved at least $6.4 billion moving through wallets on Ethereum, Bitcoin and Tron. Initial blockchain analysis showed $5.57 billion leaving Binance‑linked addresses, including a $1.6 billion USDT transfer to a new Ethereum address. Stablecoin issuers Tether and Circle froze roughly $2.39 billion of the stolen assets, while Ethereum‑based funds remain harder to block. Decrypt noted that attackers used decentralized platforms such as Uniswap and Aave to further move and borrow assets.

Attribution to a North Korean hacking group

Both TRM Labs and Chainalysis linked the breach to TraderTraitor, a hacking group previously tied to the $1.5 billion Bybit hack in February 2025. Chainalysis estimated the total loss at $6.4 billion. Binance said $5 billion of the reserved funds are already held in the same tokens that were stolen, with the remainder being acquired through market and over‑the‑counter purchases.

What to watch next

Analysts will monitor the pace of Binance’s token repurchases and the outcome of ongoing investigations into the TraderTraitor operation. Further statements from Musk or Binance regarding the SpaceX stake could influence market perception of the exchange’s liquidity. Finally, the effectiveness of stablecoin issuers’ asset‑freezing mechanisms will be scrutinized as regulators consider broader crypto‑security reforms.