Indonesian Crypto Exchange Indodax Allegedly Hacked, But Claims User Funds Are Safe

Indonesian Crypto Exchange Indodax Allegedly Hacked, But Claims User Funds Are Safe

Indonesian cryptocurrency exchange Indodax has reportedly been hacked, with estimates suggesting that around $22 million worth of assets may have been stolen. Despite this, the company assured users that their funds, both in cryptocurrency and Indonesian rupiah, remain secure.

In a statement posted on social media platform X on September 11, 2024, Indodax acknowledged a "potential security issue" but emphasized that user balances were unaffected. The company announced that trading activities were temporarily paused as part of a comprehensive maintenance effort to ensure the platform's security. The website and app were also made inaccessible during this process.

“Currently, we are conducting a complete maintenance to ensure the entire system is operating properly. During this maintenance process, the INDODAX web platform and application are temporarily inaccessible. But don’t worry, we can assure you that your balance remains 100% safe both in crypto and rupiah,” the translated statement read.

Blockchain security firm SlowMist estimated that around $22 million worth of assets, including Bitcoin, Ether, and Shiba Inu, may have been stolen. The exact cause of the breach remains unclear, and further investigation is ongoing.

This comes just months after Indian crypto exchange WazirX suffered a cyberattack, losing over $230 million in a multi-signature wallet breach. Unlike Indodax, WazirX acknowledged that users' funds had been affected, and full recovery of assets remains uncertain.

As regulatory frameworks for cryptocurrencies remain underdeveloped in many regions, victims of such hacks often find themselves with limited legal options for asset recovery.