Upbit Reports Over 159,000 Hacking Attempts in First Half of 2023
Upbit, one of South Korea’s major cryptocurrency exchanges, has revealed that it experienced more than 159,000 hacking attempts during the first half of 2023. This represents a significant increase of 117% compared to the same period in 2022 and a staggering surge of 1,800% compared to the first half of 2020. The data was shared with South Korean Representative Park Seong-jung and highlights the growing threat faced by crypto exchanges.
Fortifying Security Measures
In response to these hacking attempts, Upbit has taken steps to strengthen its security measures. The exchange has increased the proportion of funds held in cold wallets to 70%. Cold wallets, which store private keys offline, are considered more secure than hot wallets that store keys online. Upbit’s efforts have paid off as they have successfully prevented any security breaches since a $50 million exploit in 2019.
Rising Incidents in the Crypto Industry
While Upbit has managed to avoid security breaches in recent years, other crypto exchanges have not been as fortunate. In September alone, Hong Kong-based CoinEx suffered a $70 million hack, and Huobi Global’s HTX exchange lost $7.9 million in an exploit. These incidents highlight the ongoing vulnerability of cryptocurrency exchanges and the need for stronger security measures.
Call for Government Action
Representative Park Seong-jung has recognized the increasing frequency of cryptocurrency hacks and has urged the South Korean government to take substantial measures to address this issue. He suggests that conducting large-scale whitewashing mock tests and investigating information security conditions can help prepare for cyber attacks against virtual asset exchanges.
Upbit’s Recent Incident
Despite Upbit’s efforts, the exchange faced a recent incident in late September. It failed to detect a fake token called “ClaimAPTGift.com” in 400,000 Aptos wallets, resulting in the suspension of Aptos token services. This incident serves as a reminder of the ongoing challenges faced by crypto exchanges in maintaining security.
Hot Take: Strengthening Security Measures is Imperative for Crypto Exchanges
The rising number of hacking attempts on Upbit and other cryptocurrency exchanges highlights the urgent need to strengthen security measures in the industry. With the increasing value and popularity of cryptocurrencies, hackers are becoming more sophisticated in their attacks. Exchanges must prioritize the protection of user funds and data by implementing robust security protocols, such as using cold wallets and conducting regular mock tests. Additionally, governments should play an active role in regulating and supporting the cybersecurity efforts of crypto exchanges to ensure the safety and trustworthiness of the crypto ecosystem.
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