The latest centralized exchange hack may be among the most devastating to date as BitMart has lost $196 million in various cryptocurrencies.
A tweet from security analysis firm PeckShield first called attention to the alleged hack Saturday night. One of BitMart’s addresses currently shows steady outflows of entire token balances, some worth tens of millions of dollars, to an address currently labeled by Etherscan as the “BitMart Hacker.”
In a follow-up tweet, PeckShield estimated the losses to be $100 million in various cryptocurrencies on the Ethereum blockchain and $96 million on Binance Smart Chain.
In an official Telegram channel, BitMart representatives initially claimed that the outflows were routine withdrawals, referring to the reports of the hack as “fake news.”
Hours later, however, BitMart CEO Sheldon Xia confirmed that the outflows were indeed a hack resulting from a “security breach.”
The $196 million in losses makes this one of the most devastating centralized exchange hacks to date.
This is a developing story and will be updated.
The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.