BingX has promised to refund users after a security breach.
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BingX has experienced a security breach targeting its hot wallet. The exchange has promised to compensate affected users in full using its own funds.
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BingX, a Singapore-based crypto exchange, said it suffered a security breach on September 20 (Singapore time) that caused a “small” loss in its hot wallet. The exchange is committed to using its capital to fully compensate users for any losses caused by hacking.
According to a statement shared by BingX Product Manager Vivian Lin, the company's engineering team detected unusual network access around 4:00 a.m. Singapore time, indicating a possible attack.
“We immediately started our emergency plan, immediate transfer of assets and [withdrawal] Suspension,” Lin said.
BingX has temporarily suspended withdrawals to perform urgent checks and improve wallet services. Withdrawals are expected to resume within 24 hours after the wallet services upgrades are completed.
The exchange has assured its customers that most assets are safe in cold wallets, and only a small portion will be affected.
” has been [a] “However, the loss of assets is small and is still being calculated,” Lin said, adding that the exchange will use its own funds to cover all losses due to the hack.
The breach was first discovered by blockchain security firm PeckShield, which has reported a net loss of over $13 million. Web3 security firm De.Fi later estimated the total loss at $20 million.
According to data from EtherScan, various tokens worth millions of dollars have been transferred from BingX Hot wallet to another address.
At the time of the report, the compromised wallet still held more than $13 million worth of crypto assets. Additional investigators found that the funds were moved through the decentralized Kyberswap exchange, which suggests that hackers are trying to track the stolen funds.
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