Binance founder Changpeng Zhao says the exchange may tap its SpaceX-linked stake, which he values at more than $1 billion, to help cover losses from a breach. The incident is expected to cost the exchange approximately $6.3 billion, and CZ says users will not bear the cost.
Binance may use its stake in SpaceX to help cover losses from a major security breach, according to founder Changpeng Zhao, who values the holding at more than $1 billion. He says the exchange will make users whole.
The pledge follows a breach on October 29–30, 2026, which is expected to cost the exchange approximately $6.3 billion.
Freezes and a promise to users
Binance froze around $3 billion in assets in the immediate aftermath. It is also working with law enforcement and stablecoin issuers to try to claw back more of the stolen funds.
On October 30, 2026, CZ said Binance would cover all user losses tied to the incident. Binance reportedly held around $144 billion in total assets under custody before the breach.
Where the SpaceX shares come from
The stake traces back to an older bet on Elon Musk. Binance put $500 million into Musk's acquisition of Twitter, part of the broader $44 billion deal that took the platform private.
According to CZ, the shares Binance holds from that investment, referred to as SPCX shares, are worth more than $1 billion. However, Binance's direct ownership of SpaceX shares has not been independently verified, and its exposure is linked strictly to its investment in X.
Earlier in 2026, Binance canceled tokenized SpaceX IPO campaigns because it could not secure enough shares to meet allocations. It refunded investors approximately $557 million and distributed a $1 million airdrop of SPCXB tokens.
Open questions on timing
For customers, the open question is timing, and how much of the estimated $6.3 billion is recovered through freezes and law enforcement before corporate assets come into play. Still, valuations of private holdings are not cash: until the shares are sold or otherwise monetized, the over $1 billion figure is CZ's estimate rather than money in the bank.
Source: Crypto Briefing
Trading involves risk.
Risk Disclaimer
