Cryptocurrency Exchange BingX Announces Withdrawal Services Will Resume on Sept. 21, 2024, for Certain Digital Assets

According to the exchange's announcement, withdrawals for Tether's US dollar stablecoin USDT $1.00, Circle's US dollar stablecoin USDC $1.00

Cryptocurrency exchange BingX announced that withdrawal services on the platform will resume on Sept. 21 for certain digital assets following a recent hack.

According to the exchange's announcement, withdrawals for Tether's (USDT) and Circle's (USDC) stablecoins, as well as Bitcoin (BTC), Ether (ETH), Tron (TRX) and Solana (SOL) will resume first. Withdrawal services for other tokens and digital assets will resume over the next two weeks.

The exchange also announced that deposit services will resume in the next several weeks. Additionally, any withdrawal requests that were submitted prior to the disruption of withdrawal services have been canceled and will need to be resubmitted.

In an update shared with Cointelegraph, BingX chief product officer Vivien Lin explained that the monetary losses from the hack were able to be mitigated because most client funds are isolated by being held in cold storage.

The BingX executive also said that $10 million in stolen funds have already been frozen. Furthermore, the exchange is working with SlowMist, Chainalysis and other on-chain security firms to investigate the incident and recover funds.

Lin also reassured customers that any potential losses could be covered by the exchange's “sufficient reserves” and cited BingX's six-year history as a reputable service provider.

On Sept. 20, BingX exchange revealed that it was hacked with the attack being noticed around 4:00 AM Singapore time when the exchange noticed abnormal withdrawals from a hot wallet.

The losses were initially characterized as “minor” by Lin but later surged to reach $52 million in stolen funds with the exchange pausing all withdrawals and deposits.

After the exchange announced that the losses were minor and that most client funds were safe due to being held in cold storage, several users took to social media to express concerns over their funds being locked on the platform.

However, BingX later clarified that the funds that were lost were from the exchange's own reserves and that customer assets remained unaffected by the incident.

The exchange also announced that it would be covering all losses from the hack and that all customer assets were safe.

Crypto hacks and exploits in September

On Sept. 16, decentralized finance platform Delta Prime announced that it suffered a $6 million breach. According to a spokesperson from the Cyvers cybersecurity firm, the Delta Prime Hacker compromised the Delta Prime administration wallet, which controls proxy contracts, and went on to alter the contracts to drain liquidity pools on the Arbitrum (ARB) network.

The attack was detected by on-chain security firm SlowMist on Sept. 16 at around 11:35 AM, with the attacker's address quickly being identified and flagged.

On-chain data showed that the stolen funds were moved through multiple transactions and addresses before being funneled into Tornado Cash.

More recently, the Ethena domain registrar was hacked in a front-end attack, which caused the website to become compromised and led to Ethena Labs deactivating the website to prevent losses.

According to an announcement from Ethena Labs on Sept. 21, the attack compromised the registrar's website, causing visitors to be redirected to a phishing site that aimed to harvest users' domain credentials and two-factor authentication codes.]output