BitMart Hit By Hackers for $200 Million

The security breach was revealed by PeckShield on Twitter, BitMart officials called the report ‘fake news’ on Telegram and denied the hack initially.

By
Anirudh Tiwari
on
December 5, 2021
Category:
BSC News

Over $96 Million Lost on Binance Smart Chain

The centralized cryptocurrency exchange, BitMart, was hit by a “large-scale security breach” on Dec. 4. The hack of one of the exchange’s hot wallets was brought by the blockchain security and data analytics company, PeckShield. 

BitMart CEO Sheldon Xia first acknowledged the attack on Twitter at 02:13 AM UTC, Dec. 5th. Xia confirmed in his thread that all withdrawals have been suspended and a thorough security review has commenced. So far, the attack has led to a loss of nearly $200 million in various cryptocurrency tokens, out of which $100 million was from one of the Ethereum hot wallets and nearly $96 million from a Binance Chain hot wallet, as per data revealed by PeckShield.

“The affected ETH hot wallet and BSC hot wallet carry a small percentage of assets on BitMart and all of our other wallets are secure and unharmed. We are now conducting a thorough security review and we will post updates as we progress. At this moment we are temporarily suspending withdrawals until further notice. We beg for your kind understanding and patience in this situation,”  explained the official statement from BitMart on Dec. 5. 
Source: List of Tokens Transferred Out

However, despite clear evidence of the hack which was picked up by the Twitterati soon after PeckShield’s revelation. Officials from BitMart went on to deny the hack on Telegram, calling the reports ‘fake news’ and even stating that ‘Withdrawals are normal from hot wallets.’ The tensions have since been assuaged by the CEO's public comments.

Nonetheless, the hack was confirmed by their official statement soon after and even EtherScan has tagged the culpable wallet address as ‘related to Bitmart’s Hot Wallet Hack.’

Watch this space for more details and a detailed post mortem of this hack.


What is PeckShield?

Founded in 2018 by former Qihoo 360 Chief Scientist, Xuxian Jiang, and various other investors including Gaorong Capital. The team is based out of both Hangzhou, Beijing, and San Fransisco, and the costs of team members from reputed security groups like Qihoo 360, Microsoft, Intel, Juniper, Alibaba, etc.

Find more about PeckShield here:

Website | Twitter | Github | Telegram | Medium

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Anirudh Tiwari

Anirudh is a cryptocurrency analyst and writer who specializes in derivatives, DeFi, regulations and CBDCs. He has a Master’s degree in Finance. Before delving into crypto, he worked with a leading U.S. based investment bank. Apart from work, he is a music connoisseur and likes to play the drums. His largest holdings in crypto are Ethereum, Cardano, and Polkadot.

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