South Korean Crypto Exchange Bithumb Hacked, KRW 35 Billion ($31.5 Million) Stolen, Withdrawals and Deposits Suspended

Bithumb, the world's six largest crypto exchange (by trading volume), has been hacked, with 35 billion South Korean Won (around $31.5 million) stolen.

The South Korean exchange announced on its blog around 09:47 (Korean time) Wednesday, 20 June 2018, that it had been hacked sometime between late Tuesday night and early Wednesday morning, and that as a result of this attack, 35 billion South Korean Won, or approximately $31.5 million, was stolen.

It also told its users that all of their cryto assets were being moved to cold (offline) storage for extra security, and that until further notice, all crypto withdrawals and deposits were suspended.

The first indication that something had gone wrong came approximately an hour earlier than the above announcement, when Bithumb posted the following tweet:

It then followed these with two other tweets:

Note that none of these three tweets mentions that Bithumb was hacked. Apparently, there was another tweet that did mention that $30 million had been stolen, but that tweet appears to have been deleted.

This attack on Bithumb comes roughly 10 days after we reported that a smaller South Korean crypto exchange, Coinrail, was hacked.

We will keep you updated as the story develops.

Bitpoint Reveals Breakdown of Funds Stolen and Pledges Reimbursement After Hack

Neil Dennis

Japan's Bitpoint cryptocurrency exchange has published a breakdown of the assets lost in this month's security breach where hackers stole around Y3 billion ($28 million), and has pledged to reimburse customers.

A document published by parent company Remix Point on Tuesday showed that of the Y3.02 billion stolen, Y2.6 billion belonged to customers, while Y960 million were company-owned assets.

Here's the full breakdown:

  • Bitcoin BTC1,225 - total stolen worth Y1.53 billion at the time of attack: Y1.28 billion belonging to customers and Y250 million to the exchange
  • Bitcoin cash BCH1,985 - worth Y70 million at time of attack: Y40 million customer owned and Y30 million exchange owned
  • Ether ETH11,169 - worth Y330 million at time of attack: Y240 million customer owned and Y90 million of exhange's
  • Litecoin LTC5,108 - worth Y500 million, with about Y40 million in customer funds
  • XRP28,106,323 - worth Y1.03bn at the time of attack of which around a quarter were customer funds

Reimbursement

Remix Point added in its Tuesday statement that it would reimburse customer losses, compensating them in lost cryptocurrencies rather than their fiat equivalent.

The exchange revealed on Sunday it had already tracked $2.3 million worth of stolen tokens. Reported by Finance Magnates Bitpoint said it had recovered the funds and reabsorbed them.

Bitpoint said last week's security breach occurred due to unauthorized access to private keys of its hot wallets and now intends to move all holding into cold storage, where no breaches of security had been detected.

Co-operation With Regulators

Remix Point said in the document published on Tuesday that it was co-operating with self-regulatory body, the Japan Virtual Currency Exchange Association, to help establish better security measures across the industry.

It requested the association, along with its exchange rivals, monitor any suspicious activity in the coming days that might involve the deposit of funds potentially associated with the incident.