Just a year back, Bithumb had its first hack which resulted in losing Bitcoins and Ethers of 2000+ each. And now, there’s another experience to the exchange with $13million worth of funds being missing.
Bithumb’s Internal Hack Causes $13million Worth Of Funds to be Stolen
On March 29, 22:00 (Korean Time), Bithumb, one of the largest exchanges of South Korea had noticed a weird transaction happening. It is found in the XRPScan (XRP’s block explorer), a movement of funds from Bithumb’s hot wallet to outside wallets.
It has already informed the authorities (KISA) and performing the inspection.
Looking up from explorer, they have realized the missing of funds in the form of 20.2million XRP (worth $6.2million) and $3.07 EOS (worth around $6.8million). This sudden breach caused Bithumb to halt Withdrawals and Deposits for a while and inspect the transactions.
It revealed that no customer funds were lost in this breach, but only the exchange assets. Immediately, they’ve shifted the remaining funds to their cold wallet.
Bithumb said, it has been taking serious precautions to avoid external attacks since a while, but it failed to check the morale of its internal employees!
In its statement, “Our exchange is certified ISMS and applied to multi-signature scheme for withdrawal. We constantly monitor and block external hacking. However, it’s our fault to focus just on defending and not verifying the internal staff.”
The exchange immediately took its Twitter to handle to inform and apologize for the halting of transactions.
Now it is in talks with other major exchanges to recover at least some of the lost funds and said to be working on an Internal workforce verification system to avoid such mishappenings in the future.
Read the official notice here – https://cafe.bithumb.com/view/board-contents/1640037