CoinEx Resumes Deposit and Withdrawal Services After $70 Million Hack
Cryptocurrency exchange CoinEx is set to resume deposit and withdrawals for its users more than a week after it suffered a $70 million hack due to compromised hot wallet private keys. The exchange had previously stated its priority to build and deploy a new wallet system to support the numerous blockchains and tokens it served before the incident.
Resumption of Services
In a recent statement, CoinEx announced the resumption of deposit and withdrawal services for cryptocurrencies such as BTC, ETH, USDT, USDC, and others starting from September 21. To ensure security, the exchange will update deposit addresses for listed tokens and generate new addresses for its users. Users were advised not to deposit into old addresses as this could result in permanent loss of assets.
Gradual Restoration
The exchange emphasized that it will gradually resume deposit and withdrawal services for more assets once it ensures stability in the new wallet system. CoinEx maintains a 100% asset reserve policy to protect users against potential security threats. The User Asset Security Foundation will cover any financial losses incurred by users.
Hack Details
The hack involved compromised private keys of hot wallet addresses used for temporary storage of user deposits and withdrawals. The hackers managed to withdraw 231 BTC ($5.7 million), 4,953 ETH ($8 million), 135,600 SOL ($2.6 million), and 137 million TRON tokens ($11 million). These were among the highest value tokens stolen among the 18 affected cryptocurrencies.
Hot Take: CoinEx Bounces Back from Major Hack
CoinEx’s resumption of deposit and withdrawal services is a significant step towards recovery after suffering a $70 million hack. By implementing a new wallet system and prioritizing security, the exchange aims to rebuild trust among its users. The gradual restoration of services and the assurance of a 100% asset reserve policy demonstrate CoinEx’s commitment to safeguarding user funds. While the incident was unfortunate, CoinEx’s swift response and efforts to cover any financial losses through the User Asset Security Foundation highlight their dedication to customer protection. Moving forward, it will be crucial for CoinEx to continue strengthening its security measures to prevent similar incidents in the future.
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