The Canadian Bitcoin exchange CatalX recently suspended all trading operations and fund withdrawals due to a detected security breach. The company's press release mentions suspicions of an employee's involvement in the incident, which led to the loss of a portion of the cryptocurrency assets. However, the exact amount of the loss has not been disclosed.

In response to this incident, CatalX initiated an investigation into the losses and engaged Deloitte LLP to provide certain services. A disclaimer appeared on the exchange's website, informing about the technical difficulties the company faced.

This incident caught the attention of the Alberta Securities Commission, which on December 21, 2023, demanded CatalX to cease its trading activities and started its own investigation. CatalX, founded in 2018, is a FINTRAC-licensed exchange.

Security issues are not new to cryptocurrency exchanges. For example, CoinEx previously reported problems related to funds in ETH, TRON, and MATIC. In November, on-chain detective ZachXBT expressed suspicions of the theft of 1282 ETH from the hot wallets of the CoinSpot crypto exchange.