BingX has temporarily suspended withdrawals following an alleged hack of its hot wallet, with blockchain analysts estimating losses in excess of $40 million.
Singapore-The centrally-based cryptocurrency exchange, BingX, has paused withdrawals after detecting a suspicious hacker attack in their hot wallet, with blockchain analysts estimating losses exceeding tens of millions of dollars.
In a post on Sept. 20, BingX chief product officer Vivien Lin said the breach occurred at around 4 a.m. Singapore time on Sept. 20, prompting the company to launch an “emergency plan.”
According to Lin, the exchange has moved its assets to safe locations, adding that the loss is still being calculated, but assured users that most assets are stored in cold wallets, which were not affected by the attack. While the exact scale of the attack was not revealed, Lin says there was a “minor loss of assets.”
“There has been a minor loss of assets, but the amount is small and is still being calculated.”
Vivien Lin
However, blockchain forensics firm PeckShield, suggested that the breach may be more significant, estimating that approximately $26.68 million in assets, including Ethereum (Ethnicity) and Binance Coin (BNB), had already been transferred by the hacker. Another $16.5 million was reportedly drained from the platform shortly after. Analysts traced the stolen funds to two wallet addresses and estimate The total loss will amount to more than 43 million dollars.
Lin stressed that BingX will “fully compensate” for any losses using its own capital and expects withdrawals to resume within 24 hours. The company stressed that trading services are operating normally and that users’ funds remain safe under its layered asset management system.
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