Bitmart suspends withdrawal services as it counts losses of $200M in cyber-attack

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TL;DR Breakdown

  • Cyber goons attack Bitmart, making away with a stash of more than 20 Altcoins, including BNB, BPAY, and FLOKI.
  • Bitmart suspends crypto withdrawals as it counts losses of about $200M to investigate how the tokens’ disappeared.’

Bitmart crypto exchange has announced the suspension of withdrawal services for their customers after confirming a possible cyber-attack. The exchange has expressed sincere apologies for the users affected by this suspension.

PerkShield Inc., which deals with cyber security, was the first to flag a possible malicious attack on Bitmart. The firm had questioned a particular surge in transfers of tokens worth about $100m long before the exchange noticed.

Hackers do away with vast sums of cash from Bitmart crypto exchange

In what seems to be an inevitable loss, Bitmart has said that no one will get withdrawal services as investigations are underway. The exchange has lost a fortune affecting a significant number of meme coins. Its CEO, Sheldon Xia, confirmed the attack adding that they’re yet to conclude how they lost the cash.

Additionally, the Cyber securities company PeckShield has produced a list of the affected meme coins. The heist has brought Bitmart’s repayment and security protocols under scrutiny. The crypto world waits to see how Bitmart will fortify them following the attack.

Crypto-targeted cyber-attacks have surged lately

The cases of cyber-attacks targeting the cryptosphere are surging at an alarming date. On DEC. 2, 2021, the crypto lending platform Celcius also said it was a victim of a cyber-attack. The platform now counts losses of about $50M, which arose from the exploitation of Dapp BadgerDAO.

The first reports about this attack came on DEC. 2, when the platform’s officials announced multiple questionable user fund withdrawals. Celsius then said that all smart contracts were under suspension as it investigated the issue to avoid any more losses.

Per CNBC, hackers gave back about $600million, nearly half the amount they took from Poly Network. The poly network is a platform that seeks to provide interoperability between different blockchains. The hackers had ‘mercy’ on Poly network after its officials took to Twitter to ask them to return the assets that they had taken.

Other crypto exchanges and companies have also been victims of similar attacks throughout the year. MonoX smart contract was also under attack where the hackers would inflate the price of their native token then cash it out. After the attack, the company now counts losses of about $31M.

Earlier in the year, some prominent people like Elon Musk were victims of similar attacks. Hackers used their social media attacks to post fake news asking for crypto contributions to specific addresses. Some people fell for this trap and lost their cash in the name of goodwill.

If such massive attacks continue happening to the crypto sphere, the developers will need to figure out innovations to stem them. Otherwise, they risk losing investors. However, users must follow the security guidelines of every crypto project when using it.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

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