Privacy Cash Pauses Deposits After Binance Hack

Privacy Cash said it is temporarily pausing new deposits while leaving withdrawals open after funds linked to the Binance hack reached the privacy protocol, which operates on Solana and other blockchains.

The team first announced the pause on Nov. 4 at 11:06 a.m. ET. It said it would strengthen its wallet screening system during the halt, explaining: “In light of the recent Binance hack, we want to make sure bad actors can’t use our product.”

Blockchain analytics firm Elliptic reported that about $1.2 million in ETH and SOL linked to the theft had entered Privacy Cash by early Nov. 4. Binance estimated the impact of its security incident at around $6.3 billion.

Privacy Cash is designed to let users deposit crypto and later withdraw it to a different address without exposing the link between the two transactions. Its documentation says deposits pass through a relayer—a service that forwards transactions—which screens the sending wallet using CipherOwl and rejects addresses flagged as malicious.

The announced pause goes beyond that wallet-by-wallet check, stopping new deposits for ordinary users as well. With withdrawals still open, the measure targets additional inflows rather than freezing assets already inside the pools. The announcement did not specify what screening rules would change or whether the pause also blocks direct interactions with its onchain contracts.

Other services have responded with targeted restrictions. As The Defiant previously reported, Bitget Wallet said it was blocking flagged addresses from its bridge after reports that Binance theft funds had passed through it.

Privacy Cash called the pause temporary but gave no reopening date, telling users to wait for further updates.