BingX Commits to User Compensation Following $43 Million Hack
Singapore-based cryptocurrency exchange BingX has confirmed a security breach involving suspicious outflows from one of its hot wallets, leading the platform to promise compensation to affected users.
In a statement posted on X, the exchange reported detecting abnormal access to its hot wallet and suspects a hacking incident. "We immediately initiated an emergency response, which included asset transfers and suspending withdrawals," the team stated.
BingX has reassured users that the losses incurred were relatively minor and that the situation is under control. The exchange emphasized that the majority of its assets remain secure in cold wallets, with only a small portion affected by the breach.
However, blockchain security firm PeckShield has reported that the hack resulted in losses totaling $43 million, primarily in Ethereum and BNB Chain assets. Initially, PeckShield estimated the loss at around $26 million. The firm noted that the hacker quickly converted a significant portion of the stolen assets, amounting to approximately 4,526 ETH and 7,864.7 BNB. As of the latest updates, the stolen funds include 5,300 ETH, 4,100 BNB, and 1.65 million MATIC tokens.
Vivien Lin, BingX’s Chief Product Officer, stated that the exchange has temporarily halted withdrawals to enhance security protocols while conducting an emergency inspection. She assured users that withdrawals will be reinstated within 24 hours.
The incident at BingX is part of a broader trend of security vulnerabilities plaguing the cryptocurrency exchange sector. Last week, fellow exchange Indodax reported a theft of approximately $22 million, while Indian exchange WazirX suffered a significant breach, with attackers executing fraudulent transactions that led to losses of $234 million.
