Binance announces $10 million compensation plan

Binance announced that it has decided to compensate its users who lost money during the infinite minting attack last week. Hackers minted an unlimited supply of the Cover coin last week. Binance has prepared more than $10 million for compensating affected and eligible users.

According to the official announcement, Binance will utilize its SAFU Fund to compensate users. The mentioned amount will be distributed in BUSD and ETH. The exchange aims to protect its users in the future as well.

“After reviewing the latest compensation plan from the COVER team, we realized that a large number of Binance users who bought COVER on Binance after COVER's proposed snapshot time at 2020/12/28 8:11:06 AM (UTC) would have their tokens become worthless. In response to this, Binance has decided to proceed with a plan that upholds our core principle of protecting our users. In addition to the compensation plan from the COVER team, the exchange will utilize the SAFU Fund to recompense a total of $10,107,505 USD (distributed in 8,171,634.10 BUSD and 2,581.16 ETH) to affected and eligible users, with the details listed out below,” the official announcement states.