Bitrue cryptocurrency exchange, has suffered a hot wallet exploit, allowing attackers to withdraw nearly $23 million of crypto.
Bitrue made an announcement on April 14, stating that it had temporarily suspended all withdrawals due to a “brief exploit” of its hot wallet. The firm expects to reopen withdrawals on April 18, 2023, after conducting additional security checks.
Bitrue executives promised to fully compensate all the identified users affected by the incident. According to the announcement, the affected currencies on the exploited hot wallet included Ether, Shiba Inu, Quant (QNT), Gala, Holo (HOT) and Polygon.
It was stressed that Bitrue was able to address the matter quickly, which allowed the platform to prevent the further draining of funds. The affected hot wallet only accounted for less than 5% of the exchange’s overall funds, and the rest of their wallets continue to remain secure and have not been compromised.
Bitrue stated that they take this matter seriously and are currently investigating the situation. They added that they are conducting a thorough security review and will update the public as they make progress.
Founded in Singapore in 2018 Bitrue is a major centralized cryptocurrency exchange, trading nearly $2 billion in crypto per day on average, according to data from CoinGecko. However, Bitrue has been hacked in the past, losing nearly $5 million in Cardano due to a hot wallet hack in 2019.
As previously reported, hackers have been increasingly opting for decentralized finance (DeFi) hacks over the past few years, slightly moving away from traditional centralized exchanges. In the first three months of 2022, crypto exchange hacks accounted for just 3% of all crypto stolen, while 97% was taken from DeFi protocols, according to data from Chainalysis.
Bitrue executives promised to fully compensate all the identified users affected by the hot wallet hack that accounted for 5% of all funds on the exchange. Bitrue cryptocurrency exchange has suffered a hot wallet exploit, allowing attackers to withdraw various crypto assets worth nearly $23 million.
Bitrue crypto exchange hacked
In summary, Bitrue, a major centralized cryptocurrency exchange, suffered a hot wallet exploit that led to the withdrawal of nearly $23 million worth of various crypto assets. However, Bitrue was able to address the situation quickly and prevent further loss of funds.
The exchange has promised to fully compensate affected users and is conducting a thorough security review. This incident highlights the importance of strong security measures in the crypto industry, especially as hackers increasingly target decentralized finance protocols.