So Binance is taken the loss of 7000 coins, I guess that is kind of what Poloniex did back in the day to me, it took them sometime but they paid them back. I guess you can kind of rely on them, but what if there is a massive hack, how will they be able to pay back the funds?
It is simple they wont be able to repay anything, either way $40 million is a huge amount of money even if it is a top exchange with ample funds, the news just broke a few hours back and the entire damage will be known at a later stage, the market has responded to the news and the entire market is bleeding.
There are also users accounts who affected not only Binance cold storage wallet. Still, lucky for them they will able to refund as what they have said.
Mt. Gox was also a big exchange when the hack happened and the empty promises they gave to all the users and the fake assurance that everything is safe, still they have not refunded everyone and a lot of people have lost millions of dollars worth of coins in the current market valuation.
