CoinEx Resumes Deposit and Withdrawal Services After $55 Million Hack

BySamson Ononeme

Sep 20, 2023
CoinEx Resumes Services After $70 Million Hack

Key Insights

  • CoinEx is resuming deposit and withdrawal services after a $55 million hack stemming from compromised hot wallet keys.
  • The exchange is implementing a new wallet system to enhance security for its 211 blockchains and 737 tokens.
  • Services for cryptocurrencies like BTC, ETH, USDT, and USDC will be restored from September 21.

Cryptocurrency exchange CoinEx has announced its plans to resume deposit and withdrawal services for its users after enduring a major setback due to a $55 million security breach. The breach, stemming from compromised hot wallet private keys, prompted CoinEx to take swift action to bolster its security infrastructure.

CoinEx resumes services with enhanced security measures

CoinEx, a platform known for its extensive support of 211 blockchains and 737 tokens prior to the hacking incident, has been working diligently to restore normalcy for its user base.

Read also! CoinEx $55 Million Hack Traced to North Korean Hackers Lazarus Group

In correspondence with Markets Xplora, the exchange made it clear that its top priority was the creation and deployment of a new wallet system capable of accommodating the multitude of assets it serves.

The latest statement released by the exchange reveals that deposit and withdrawal services for several prominent cryptocurrencies, including BTC, ETH, USDT, USDC, and more, are set to resume on September 21.

CoinEx Resumes Deposit and Withdrawal Services
CoinEx is set to resume deposit and withdrawal services for 11 different cryptocurrencies.

However, there is an important caveat – CoinEx will be updating deposit addresses for the listed tokens, issuing new ones for its users.

CoinEx users are strongly advised against depositing funds into their old addresses on the platform, as this action may result in permanent asset loss. Additionally, the exchange has forewarned of a potentially substantial backlog of pending withdrawals as it gradually restores full operational functionality:

We ensure the new wallet system is stable, and we will gradually resume deposit and withdrawal services for more assets.

User protection and compensation

CoinEx has been resolute in its commitment to enhancing security measures. The exchange claims to have implemented a stringent 100% asset reserve policy aimed at safeguarding users from any potential security threats.

Previous updates following the hack emphasized that user assets remained unaffected and that the CoinEx User Asset Security Foundation would cover any financial losses incurred.

Markets Xplora has reached out to CoinEx for clarification on whether users would be eligible for refunds in the event that their assets were compromised, or are at risk of compromise, due to the breach.

Samson Ononeme

Meet Samson Ononeme, a dynamic writer, editor, and CEO of marketsxplora.com. With a passion for words and a sharp business acumen, he captivates readers with captivating storytelling and delivers insightful market analysis.

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