KuCoin Cryptocurrency Exchange Hacked for $150M

The Singapore based exchange, KuCoin, has been hacked.

A hack has targeted Singapore-based cryptocurrency exchange KuCoin, stealing upwards of $150 million in tokens, reported Coindesk.

KuCoin reported noticing unusually large withdrawals of Bitcoin and Ethereum to a mysterious wallet on 25 September. KuCoin CEO Johnny Lyu subsequently announced that a number of hackers had obtained access to hot wallets on the exchange. When KuCoin noticed the hack happening, they swiftly transferred whatever remained in the hot wallets to new hot wallets. They abandoned the hacked hot wallets and froze customer deposits and withdrawals.

KuCoin’s cold cryptocurrency wallets were not affected, as they are not connected to the internet and are thus safer from hacking than hot wallets. There has been no announcement regarding the stolen amount, but the cryptocurrency exchange will likely soon announce this information in addition to the hacker’s wallet address.

Decrypt further reported that the cryptocurrency exchange ensured their public clientele that if any of their accounts were targets of the hack, KuCoin would cover whatever was lost through the company’s funds.

Apparently, trouble started when users started noticing withdrawal problems. System administrators subsequently thought that the system might just be experiencing a glitch. They urged users to refrain from interacting with their accounts until the system administration team could resolve the ostensible glitch.

The hacker purportedly robbed hot wallets of about 11, 484 Ether, worth about $4 million. The hack also affected an additional $146 million of other tokens, bringing the total to about $150 million.

Regulators in Europe recently begun a crackdown on similar crypto scams under their jurisdiction.

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Raïs Tarek 87 Articles
Journalist and lawyer, with a passion for global politics, economics and current affairs.