$1.5 billion.
This staggering amount has been stolen by hackers from one of the largest cryptocurrency exchanges in the world.
On Friday, the cofounder and CEO of a leading crypto exchange disclosed that hackers gained access to its ETH (Ethereum) wallet and transferred all holdings to an unidentified crypto wallet address.
The theft, totaling $1.5 billion in cryptocurrency, represents the most significant theft in the crypto space to date. Experts caution that converting such a large amount of Ethereum into cash could destabilize its value, posing challenges for the culprits.
To put this heist into perspective, it accounts for over half of all cryptocurrency thefts recorded in 2024, with a previous report indicating $2.2 billion was stolen from crypto platforms this year.
The CEO has expressed optimism about recovering the stolen assets, assuring customers that the company will compensate for any lost funds and provide refunds for affected holdings.
He affirmed that the exchange is solvent, stating that all client assets are fully backed and that they can cover any losses incurred from the breach.
The aftermath of the theft has understandably unsettled customers, leading to a mass withdrawal of funds, with a reported peak of $5.3 billion being withdrawn from the platform on Saturday night.
Despite the challenges posed by the heist, the exchange maintains that it holds $20 billion in crypto assets.
In a subsequent update, the CEO announced that the company has already mitigated the impact of the theft through various means including loans and deposits.
As the community watches with bated breath, it remains uncertain if the stolen $1.5 billion will be retrieved. The exchange has initiated a bounty program offering up to $140 million for the return of the stolen cryptocurrency.
In an official statement, the exchange called for talented individuals in cybersecurity and crypto analytics to assist in tracking down those responsible for this unprecedented heist.
Topics
Cybersecurity
Cryptocurrency
