CZ calls for crypto security alliance as AI-driven attacks accelerate after Binance hack

Binance cofounder and former CEO Changpeng "CZ" Zhao said AI is accelerating cyberattacks and argued companies should invest in AI-based defenses, security personnel, and partnerships with AI security providers.In his first public interview since the Oct. 29 hack of Binance, Zhao told the Talking Tokens podcast that the threat extends beyond individual companies to the broader crypto industry and global financial system, given crypto's connections to stablecoins, tokenized stocks, real-world assets, and traditional finance."The speed of hacking is going to pick up because of AI capabilities [being] so strong now. At the same time, we've got to use more AI to defend. The only way to fight a monster is to kind of become that monster."The comments come amid a string of security incidents across the crypto industry, including a separate AI-assisted breach at blockchain analytics firm Chainalysis and a $46 million security incident at Brazilian exchange Mercado Bitcoin.Zhao said he learned of the incident around midnight in the UAE and focused on communicating with the community while Binance's team worked to contain the attack and protect users. He attributed relatively calm market conditions and subsequent net inflows to the company's response, financial capacity and user trust. He described security incidents as preventable with sufficient effort and attention, while warning that organizations can become complacent.Earlier Tuesday, Binance said hackers used a fake job interview to compromise an employee's computer before leveraging an internal AI tool in the attack. The exchange also said it detected and prevented 57 suspected North Korea-linked cyber threats in 2026.CZ calls for industry-wide security collaborationZhao called for an industry alliance to share lessons and best practices, conduct cross-audits and help freeze stolen funds more quickly. He views security as an ongoing process rather than a milestone that must be reached before adoption."As an industry, I encourage [...] forming some kind of industry alliance on security to help each other learn from each other's mistakes, share the best practices, cross audits, help each other freeze funds very quickly, etc."Zhao said he had not spoken with President Donald Trump or other U.S. officials about the incident, but that Binance and the broader crypto industry would welcome government assistance. Trump has said the U.S. was "looking into it.""What's bad for crypto on this scale has real economic impact elsewhere," Zhao said. "So you cannot just say, 'Look, this is one specific problem for one specific sector or for one specific company.' It impacts the company, impacts the industry, impacts global finance. It's all interconnected, and I think, given the size of impact, it's definitely at the national security level as well."Zhao expressed optimism that AI could help identify software vulnerabilities and strengthen defenses, while blockchain could support faster transactions facilitated by AI.