Today, on its official website, Bithumb, which is one of the largest crypto exchanges in South Korea, reported that approximately between yesterday’s evening and today’s morning (Korean time), cryptocurrencies totaling 35 billion won, which is about 31.5 million US dollars, have disappeared. After a couple of hours, the news was removed along with the assurances to compensate the losses. Also, on Twitter, there were publications about the robbery, but they also did not contain any details.
Korean Bithumb’s $31.5 Million Loss
In the last 2 weeks, Bithumb has become the second exchange in Korea, which is often attacked by cyber thieves. According to local media reports, in early June, Coinrail, which is the 7th biggest cryptocurrency exchange in South Korea, published the news that it has lost from 37.2 to 40 million dollars in Altcoins due to hacking their system.
This morning, around 9 o’clock, posts appeared in Bithumb’s Twitter that the exchange is forced to pause its work on deposits and make changes to the system of wallets to improve security. It expressed regrets for this case and asked the clients temporarily not to use the Bithumb wallet. This attack is the second one in July. Such events demonstrate the insecurity of cryptocurrency exchanges once more.
Bithumb already reported that all losses will be closed by funds from their personal reserve. It was also said that a special cold wallet is used to store clients’ assets, which is maximally prevented from attacks, and which is placed on platforms that do not have direct access to the Internet.
Market Price Falls Down
Another cryptocurrency exchange – Btrade reported that by 11 o’clock the price for bitcoin in South Korea dropped 3.88% to 7.23 million won. In addition, Ethereum and Ripple fell by 4.22% and 3.16% accordingly.
Coinmarketcap data showed that Bithumb took the leading place among Asian exchanges, whose daily money turnover exceeds the bar of 330 million dollars. A representative of Bithumb reported online that there is no exact information about the currencies that have been vanished. Also, there was no evidence that it was a hack. On the official Bithumb page it is indicated that the exchange works with 37 kinds of cryptocurrencies.