Binance: Leaked KYC User Data Isn’t From Its Own Users

After a hacking group under the name ‘’ExploitDOT’’ announced to be selling leaked KYC data from crypto exchange Binance as we previously reported in our blockchain news, the leading world crypto exchange put out a statement claiming that the leaked data isn’t from its users because of the digital watermark on every user picture that it collects.

The hacker group was selling leaked KYC data allegedly from Binance since they showed pictures of individuals that are holding a piece of paper with the word Binance written on it and the date when the picture was taken.

Despite having the word Binance written on a piece of paper, the exchange revealed that the leaked KYC (know-your-customer) photos are not from Binance accounts. They noted that security is their top priority and that various measures are taken to ensure that privacy and security are strongly guaranteed.

Binance KYC data is stored with ‘’fine-grained permission controls’’ and the company therefore able to conclude that the photos aren’t from the exchange itself because the photos didn’t contain the digital watermark they add as a security measure to all of the images:

‘’To elaborate, in regards to the image data we collect from our customers during the KYC process, every image that the Binance system processes for KYC purposes are embedded with a hidden Digital Watermark’’

The watermarks can only be visible under special conditions because they contain information embed into the images as well as the source of the photo and the entire relevant audit details. The watermarks can even be detected after the images are modified.

Binance also clarified that all of the sensitive user information is encrypted in accordance with industry standards.