CZ Binance stated that the exchange has allocated 100% of funds toward its $3.3B hack losses, leaving only 5% in less liquid tokens that require additional time to convert.

According to the source, Japan's Financial Services Agency will require crypto exchanges to hold liability reserves to cover losses related to hacks (source: Japan FSA via the provided source). According to the source, this policy focuses on security-breach losses at exchange platforms and is relevant for traders assessing counterparty risk and operational robustness on Japan-based venues (source: Japan FSA via the provided source).