Binance announced a new security feature called Withdraw Protection. The feature blocks all on-chain crypto withdrawals for a set period. The so-called lockdown window avaiulable to users may vary from 1 to 7 days. The default is 48 hours.
The feature is intended for physical security threat cases when a user may be pressured in person to transfer funds. Although thise are more rare than digital threats, e.g. malicious phishing links, imposter scams, SIM swaps, and compromised seed phrases, physical coertion for money transfer is not impossible. Binance decided to approach that risk with fund lockdown option. Additionally, it can also prevent users themselves from impulse trading or withdrawal decisions triggered by some psychological reasons like FOMO rather than objective factors.
During the lockdown, no withdrawals can be made from the account. Withdraw Protection can be enabled in account settings. Once activated, withdrawal requests are blocked for the full duration of the selected window. By default, the lockdown cannot be ended early. This applies to all users, including the account owner. For extreme cases, there is an optional setting called “Allow early unlock.” If enabled, users can end the lockdown before it expires. This requires a security key and an authenticator app. Users can also add confirmation via a separate phone number or email. Other account functions remain available during the lockdown. Users can still trade and access their accounts. Only withdrawals are restricted.
How Binance Withdraw Protection feature works
Users can enable Withdraw Protection in the Binance app or on the web platform.
On the app:
- Go to Account Centre.
- Open Account Info.
- Select Security, then Withdraw Protection.
- Choose a lockdown period and confirm settings.
On the web:
- Go to Profile, then Account.
- Open Security, then Advanced Security.
- Select Withdraw Protection and confirm settings.
The lockdown period can be set between 1 and 7 days. The default is 2 days. The early unlock option is turned off by default. If you need to enable it, change the default option before confirming the settings.
Additional security steps
Binance also lists general security measures one should follow to keep their crypto assets safe:
- Avoid sharing account balances or trading activity publicly.
- Use withdrawal whitelists.
- Enable biometric login.
- Use passkeys where available.
- Set an anti-phishing code for emails.
Security risks in crypto remain a focus for regulators. Reports from the European Union Agency for Cybersecurity (ENISA) show that social engineering and phishing are among the most common attack methods in financial services. Physical coercion cases are less frequent but are included in broader fraud categories. Besides, crypto-related cybercrime is one of the fastest-growing fraud categories. Cybercrime threat actors also often request Bitcoin or select altcoins for ransom.
The European Central Bank and other national regulators continue to highlight user protection and custody risks in crypto markets as well.
“Smart contracts, integral to tokenisation, have evolving security practices, making them vulnerable to exploitation by malicious actors and prone to errors that are difficult to resolve,” notes ECB.
These reports note that user-side security measures remain important, as transactions on blockchain networks are generally irreversible. In this context, Binance Withdraw Protection adds an extra security level to the crypto exchange accounts.
