Bithumb Hacked for $31.5 Million, Withdrawals and Deposits Frozen

South Korean Exchange Bithumb confirmed that it temporarily stopped all deposit and withdrawal services subsequent to a large-scale hack.

Tweets posted and deleted by the official Bithumb Twitter account imply that over $30 million USD was lost during the hack.

Those stolen cryptocurrencies will be covered from Bithumb and all of assets are being transferring to cold wallet.

Bithumb has not yet revealed any information regarding the hack, but has taken to Twitter to advise exchange users of the transfer of all assets to cold wallets in order to "Build up the security system and upgrade DB," making no reference to the aforementioned hack, labeling the event as a "Restart of service".

"We noticed that between last night and today early morning, about 350,000,000,000 KRW worth of cryptocurrencies have been stolen. However, this loss will be compensated by Bithumb's own reservoir, and all assets of our customers are securely saved in Bithumb's cold wallets, hence all asset is completely safe and secured."

Bithumb urgently ask our valuable customers not to deposit any fund into Bithumb wallet addresses for the time being.

The Bithumb hack marks the second South Korean exchange hack this month - Coinrail, another highly popular Korean cryptocurrency exchange, was hacked in the first half of June.

The crypto market underwent a minor dip after the hack, with Bitcoin losing $150 in less than one hour.

Markets appear to be stabilizing with market participants likely becoming inured to frequent South Korean exchange hacks.

Bithumbs' announcement that all customers will be reimbursed is likely to mitigate some of the stress placed on the currently fragile cryptocurrency market as a result of the hack.