The Information's TITV
00:42:21 · Nikhil Raghuveera, Akash Pasricha
[00:42:21] S4: I see. I don't think it's gonna be a run on the banks. I think exactly what Yueqi was saying. I think the industry has, I think, a good bit of confidence on the operations of Binance. I think they have been around for a while. They do have a lot of capital. I think the the more important question that will... And from a longer term perspective, again, is there's just been a lot of exploits and hacks. And so there's going to be... There's kind of this perpetual concern and challenge around if an organization is planning to deploy or launch a digital asset product, how do you ensure security? How do you have protection around that? And that's really the bigger problem. Right? It's not so much a draw out of capital right now or people saying, wait. This... Like, I need to move my money out. It's more so the scaling of the industry and the deployment of new assets. What are the concerns there? And when you see an exploit like this, if you're a larger financial institution, you might pause or you might take a moment to say, wait. We don't need... We shouldn't rush this. We need to make sure everything is really, really secure. So I think that's really the part that we'll have to navigate. [00:43:16] S0: And you actually... Don't mean this in, like, a cheeky cheeky way, but, like, was AI a part of this potentially? We've heard about all these AI aided hacks. Can we assume that that made this all easier for the attackers?
00:43:16 · Akash Pasricha, Yueqi Yang
[00:43:16] S0: And you actually... Don't mean this in, like, a cheeky cheeky way, but, like, was AI a part of this potentially? We've heard about all these AI aided hacks. Can we assume that that made this all easier for the attackers? [00:43:34] S5: We don't know yet. And I think AI is definitely a major concern for a lot of crypto companies just because of how powerful they are, how quickly they're able to detect any vulnerabilities in your coding. But from the initial assessment that Binance put out, it seems like engineers laptop was compromised. We don't know whether that's social engineering or not. A lot of the hacks that happened earlier this year with other exchanges, it seems like oftentimes is some kind of operational security vulnerability. It may not even require AI, and it could be someone just not being careful enough, and there's not enough check and balances set up. So we'll wait to see what Binance comes out with their final assessment.
00:43:34 · Yueqi Yang, Akash Pasricha
[00:43:34] S5: We don't know yet. And I think AI is definitely a major concern for a lot of crypto companies just because of how powerful they are, how quickly they're able to detect any vulnerabilities in your coding. But from the initial assessment that Binance put out, it seems like engineers laptop was compromised. We don't know whether that's social engineering or not. A lot of the hacks that happened earlier this year with other exchanges, it seems like oftentimes is some kind of operational security vulnerability. It may not even require AI, and it could be someone just not being careful enough, and there's not enough check and balances set up. So we'll wait to see what Binance comes out with their final assessment. [00:44:25] S0: Great. Well, want to thank you both for coming on. That is Yueqi Yang from The Information and Nikhil Raghuveera from Predicate here on TITV. That does it for today's show. A reminder, are on this stream Monday through Friday at 10AM Pacific, 1PM Eastern. If you can't make it then, episodes are available on theinformation.com, on our YouTube channel, or wherever you get your podcasts. Make sure to follow us on social media, on X, on Instagram, on TikTok, and on LinkedIn. I am already excited for our next show on Monday. Have a great Friday. Have a great weekend. Have a great Halloween. See you soon. Bye bye for now.