Cryptocurrency exchange BingX has reported a potential security threat affecting its hot wallet. The incident has prompted the exchange to implement its emergency response protocols.
Detection of the Threat
Vivien Lin, Chief Product Officer at BingX, confirmed the security incident in a post on X. According to Lin, the exchange’s technical team identified abnormal network access around 4 AM Singapore time, raising suspicions of a potential breach targeting BingX’s hot wallet.
Action Plan and Withdrawal Suspension
In response to the threat, BingX immediately activated its emergency plan, which included the urgent transfer of assets and the suspension of withdrawals. According to Lin, losses have been minimal, but the full extent of the hack is still being determined. The majority of user funds are stored in cold wallets, with only minimal amounts kept in hot wallets for withdrawal purposes.
Compensation Plan for Users
BingX is developing a compensation plan for users affected by the incident. The exchange apologized for the inconvenience caused and stated that withdrawals will be restored within 24 hours. However, users have expressed concerns and dissatisfaction on social media platforms.
BingX continues to work on mitigating the incident's impact and is developing measures to prevent similar situations in the future. Users will be informed about the completion of emergency measures and the resumption of normal operations.
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