Binance Hack Sinks Crypto, Oil Rises on Middle East Tensions

Cryptocurrency markets and tech stocks fell Friday after a $6.3 billion hack of Binance reignited security concerns for digital assets, while oil prices rose on escalating Middle East tensions. Gold and other precious metals also dropped sharply as investors reassessed tech stock and interest rate outlooks. Intel shares plunged after the chipmaker issued a weaker-than-expected fourth-quarter revenue forecast. Binance's co-CEO Richard Teng said roughly $3 billion of the stolen funds had been frozen on-chain with blockchain partners, and the exchange promised to cover customer losses through its Secure Asset Fund and corporate funds. The breach was attributed to a compromised DevOps engineer's laptop, with no evidence of leaked private keys. Coinbase shares fell over 10% to levels last seen in February 2024, while Bitcoin dropped as much as 4.8% to around $76,820. Brent crude settled 2.32% higher at $117.55 per barrel after a tanker was hit in the Strait of Hormuz, while Houthi militants claimed attacks on Saudi oil facilities. Spot gold fell 3.44% to $3,881.68 per ounce, its lowest level in a year, down roughly 30% from its January record. Intel's stock dropped 28% after forecasting Q4 revenue of $15-16 billion versus analyst expectations of $17.1 billion.