Binance Hacker Loses $5M in PROM Token Dump
2 min read
On October 30, 2026, a hacker linked to the Binance breach reportedly exchanged 908,793 PROM tokens, valued at approximately $5.13 million, for just 0.0316 ETH, worth about $71, according to Lookonchain.
The attacker routed the tokens through a nearly empty Uniswap V2 liquidity pool, suffering extreme price slippage. Lookonchain described the incident: “The Binance hacker made a $5M mistake while dumping altcoins!”
The transaction occurred during a wider series of stolen-token liquidations across decentralised exchanges, including Uniswap and PancakeSwap, according to Lookonchain’s on-chain findings.
Key Takeaways
- PROM liquidation: The transaction reportedly destroyed approximately 99.999% of the position’s estimated value.
- Earlier FUN sale: Another trade recovered just 21.3% of the tokens’ estimated market value.
- Wider activity: The attacker also liquidated other stolen altcoins across multiple trading pairs.
Earlier FUN Token Sale
Before the PROM incident, Lookonchain tracked the transfer of 714.9 million FUN tokens to an intermediary wallet.
The attacker subsequently sold 134.1 million FUN, valued at approximately $1.17 million, receiving only $250,000 in Ether. The transaction caused the token’s price to plunge by more than 90% within that particular liquidity pool, not across the entire market.
Wider Binance Breach Fallout
The broader incident began with an alleged $6.36 billion Binance breach on October 29, according to the incident reporting. The attacker’s subsequent conversions exposed substantial differences in liquidity between individual cryptocurrency markets.
An October 30 analysis by 24/7 Wall St. documented sales of 7.02 million Uniswap tokens worth approximately $40 million and 217.5 million Ethena tokens valued at $34 million.
Those larger conversions formed part of a reported 70,480 ETH accumulation valued at roughly $158 million.
Why the PROM Swap Failed
Lookonchain’s findings indicate that the loss resulted from inadequate pool liquidity rather than a malfunction of Uniswap’s trading protocol.
The automated transaction executed against the assets available in the pool, leaving the attacker with proceeds far below the tokens’ quoted market valuation.
Binance has reportedly established an internal recovery pool and outlined phased restoration of customer withdrawals. The timing and operational status of those measures require confirmation against the exchange’s official announcements.
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Data: CoinGecko. Prices in USD.
