THORChain’s RUNE Rallies as Binance Hack Funds Move Through Protocol
TL;DR:
THORChain’s RUNE token climbed more than 13% to $0.67 after Binance confirmed a $6.3 billion security breach. The price increase came as on-chain investigators reported that funds connected to the Binance and Bitget hacks had passed through THORChain, bringing renewed attention to the protocol’s role in cross-chain cryptocurrency transactions.
THORChain’s native RUNE token recorded a significant rally on Friday, gaining more than 13% following news of Binance’s record-breaking $6.3 billion security breach.
According to TradingView data, RUNE climbed to approximately $0.67 from a local low of $0.59 recorded earlier in the day. The price movement came as investigators examined the movement of stolen cryptocurrency through decentralized platforms, including THORChain.
The development has placed the cross-chain protocol back in the spotlight, particularly because it has previously been used to move funds associated with several major cryptocurrency exploits.
Binance Hack Brings THORChain Under Scrutiny
Reports show that funds connected to the Binance breach and September’s $388 million Bitget hack had passed through THORChain before being consolidated at the same Ethereum address.
The Bitget incident has been attributed to TraderTraitor, a hacking group linked to North Korea. Blockchain intelligence firms TRM Labs and Chainalysis have also linked the Binance attack to North Korean hackers.
Binance estimated the total impact of its security incident at approximately $6.3 billion, making it one of the largest cryptocurrency thefts ever reported.
The exchange said its preliminary investigation pointed to a potentially compromised DevOps engineer’s laptop, which may have allowed attackers to access internal infrastructure and submit unauthorized withdrawal transactions.
Bitcoinist previously examined the massive Binance security breach and its estimated $6.3 billion impact.
THORChain’s Role in Previous Crypto Hacks
THORChain enables users to exchange digital assets across different blockchain networks without relying on traditional centralized exchanges.
However, its permissionless structure has also attracted criticism after stolen cryptocurrency was reportedly moved through the protocol.
Hackers previously used THORChain to move funds connected to the $1.4 billion Bybit attack in February 2025. The protocol was also involved in transactions associated with the Bitget incident.
THORChain rejected the request, explaining that it does not have the technical mechanism to block individual swaps. Instead, node operators can pause trading on an entire blockchain or across the network.
The controversy also created divisions within the THORChain community following the Bybit incident. Core developer Pluto announced his departure after an Ether trading halt was reversed, while validator TCB threatened to leave unless the protocol stopped processing funds linked to North Korean hackers.
RUNE Rally Comes Amid Renewed Security Concerns
Despite the controversy surrounding the protocol, Thorchain’s RUNE’s latest price movement suggests that traders were responding positively to the market developments.
However, the reported rally does not necessarily indicate improved confidence in THORChain’s security or long-term outlook.
The situation instead highlights a growing challenge for decentralized finance platforms. Permissionless infrastructure allows users to move assets freely across blockchain networks, but the same openness can make it difficult to prevent stolen funds from passing through.
For THORChain, the latest Binance incident renews questions about how decentralized protocols should respond when their infrastructure is used to move assets connected to major cryptocurrency thefts.
As investigators continue tracking the stolen funds, attention will remain on THORChain’s handling of suspicious transactions and whether its governance structure can address concerns without compromising its decentralized model.
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