Bithumb, Leading Korean Exchange, Hacked Again?!

If you like what you read, feel free to share it:

Just recently, on March 30, 2019, Bithumb saw yet another cyber attack. It appears that the exchange is hacked and unofficial information says that around 3 million EOS are stolen.

Bithumb temporary pauses Withdrawals and Deposits

The exchange started communicating to its followers on Twitter, saying that they apologize to their users for delaying deposit and withdraw services. Also, they wanted to inform about the “circumstances” of the grounds and informed that users’ funds are safe.

However, it appears that the hacker transferred 3,1 million EOS out of their hot storage within 16 transactions, says the unofficial source.

The first transactions from the Hacker.

Moreover, it looks like not only EOS is the victim, the same unofficial source claims that more than 20 million XRP is on the line as well!

This is the Bithumb EOS account (g4ydomrxhege), which suffered the attack.

The remaining balance is transferred out of the wallet and into the Bithumb cold wallet (bithumbshiny).

The second major Bithumb hack

Bithumb has suffered from hackers almost exactly a year ago as well. Only that time the losses were much more significant. Bithumb reportedly lost around $31 million, but managed to recover $14 million during the investigation. Many tweeters say that this incident is almost ridiculous, and Bithumb hasn’t learned anything from the previous hacks.

Also, another thing which a lot of people note is that this time EOS won’t be able to help/freeze the transactions because now it is too late. The hacked disposed the stolen EOS via ChangeNow, a non-custodial cryptocurrency swap platform that does not require KYC from it’s customers.

Additionally, according to this issue, many people now have found out that Bithumb kept $15 million worth of cryptocurrency in a single wallet. Many seem to question this kind of action.

The entire timeline

A Twitter user @DoveyWan has collected the entire timeline on how the situation escalated.

(SGT time-zone)

  • On 3/29 at 9:40 AM – Hacker account ifguz3chmamg was created via accountcreat 
  • 3/29 9 to 11 PM– Bithumb wallet g4ydomrxhege has been transferred out 3,132,672 EOS to the hacker account, total 16 transactions
  • 3/29 post 11 PM – the hacker has been disposing stolen EOS via ChangeNow to downstream exchanges including Huobi, Kucoin, the distribution is still on-going 
  • 3/30 midnight, Bithumb started to transfer remaining balance of g4ydomrxhege/new deposit into its cold wallet bithumbshiny.

Also, the user has created a complex chart explaining the fund flow analysis.

We will update the article as the situation unfolds.


Photo by Soumil Kumar from Pexels