Bithumb Takes A Step Forward From Multi-Million Dollar Hack

Korean Won

Earlier this week, South Korea’s cryptocurrency exchange has been hacked. According to the firm, they have reported having lost approximately $31.5 million to the Korea Internet & Security Agency (KISA), but this time they may be able to reduce the financial damage.

According to the exchange:

“We have announced about 35 billion Korean won of damages. Bithumb is reducing the amount of damage through ongoing damage recovery, future figures are expected to be lower.”

They went on to explain that working with other crypto exchanges helps them to prevent further losses and retrieve the funds. “The company believes that you can use Bithumb safely,” as their update has stated.

After the news about the hack on Wednesday, the company reassured the customers that the remaining assets had been transferred to offline cold wallets as a security measure and that it has stopped all deposits and withdrawals for the meantime.

A self-regulatory group comprised of exchanges and blockchain startups, Korea Blockchain Association, referred to the hack as an embarrassing situation and that exchanges taking on hacking losses is a good way to protect their users.

The association went on to explain:

“We will continue to establish standards for user protection such as security, standard conditions and dispute settlement procedures that cryptocurrency exchanges should have.”

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