Bithumb Crypto Exchange Hacked Again, $31million Stolen

Bithumb Crypto Exchange Hacked again, Stolen $31 Million

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Updated on: June 23, 2018

Bithumb Crypto Exchange Hacked Again, $31million Stolen

The Forth largest South Korean based Bitcoin and Ether exchange "Bithumb" has been hacked again. In this hack, hackers have stolen 35billion South Korean Won, around $31 million worth of crypto. The heist had took place on Wednesday, and company have immediately moved its remaining assets to the cold wallet.

Company have not given much information about the hack, but reports stats that hackers may have targeted XRP, world's third largest cryptocurrency. According to a follow-up report from CoinDesk Korea, Bithumb conducted a security enhancement checkup on June 16, just days before the confirmed hack.
The exchange explained at the time:

"Recently, the number of unauthorized access attempts has increased. As such, an urgent server checkup was conducted to strengthen the security of all system."

Bithumb is urging investors to discontinue depositing cryptocurrencies until further notice since withdrawals have been halted. “Due to a security check on deposit/withdrawal services, cryptocurrency deposit/withdrawal and KRW withdrawal service will be halted for time being and services are thoroughly reviewed,” said Bithumb in a statement on its website.

*All deposit and withdrawal service will be stopped to make sure the security. We will keep notice you of the restart of the service. We apologize for your inconvenience and thanks for your understanding.
— Bithumb (@BithumbOfficial) June 20, 2018

Just before the official confirmation from Bithumb, exchange had reported the case to the Korea Internet & Security Agency (KISA), a government organization that supervises internet and cybersecurity issues in the country.

Bithumb will give Compensation
On its official twitter account, bitcoin have wrote that they will payback its users from its own reserve wallets.

We are providing compensation, it just has to be a more regulated process.
— Bithumb Support (@BithumbSupport) June 20, 2018

At this stage, Bithumb has not officially announced what exactly allowed the hackers to access its system, nor has it provided an estimated timeline for when asset deposits and withdrawals will resume. Moreover, exchange is working with the cybersecurity division of South Korea's National Police Agency.

This is not the first time that hackers have hacked Bithumb, on July, last year, hackers have stolen billions of Won and also stolen personal details its users.