Huge Binance Drain Tied to Ethereum Delegation Trick

On October 29 2026, wallets linked to Binance started sending out assets at high speed. Roughly 167,000 ETH, 1.615 billion USDT and dozens of other tokens left in a single Ethereum transaction; one receiving address alone collected an estimated 3.52 billion dollars within forty minutes. Broader tallies across chains reached 5.8 billion.

The trigger was EIP-7702, introduced in the May 2025 Pectra upgrade. It lets a regular wallet hand control to a smart contract. Investigators found a delegation call with fifty possible nonces; one matched, and the wallet emptied minutes later.

Binance halted withdrawals, stablecoin issuers froze 2.4 billion dollars, and Changpeng Zhao said the activity resembled a hack. Glassnode put the figure near 5.3 billion, yet the exchange has not released verified loss numbers.

Bitcoin and Tron movements remain unexplained by the same method, leaving investigators with a wider puzzle. Blockaid CEO Ido Ben-Natan noted the attacker rehearsed the move on test wallets and funded it via Tornado Cash.

Based on information from cryptonews.net