BingX Cryptocurrency Exchange Hit by $52 Million Hot Wallet Hack
Cryptocurrency exchange BingX has suffered a significant security breach, losing over $52 million in a hot wallet hack. The incident occurred around 4 pm UTC+8 in Singapore, prompting the exchange to take immediate action.
Hack Highlights Vulnerability of Hot Wallets
The hack underscores the vulnerability of hot wallets, which are online wallets connected to the internet. Hackers targeted BingX's hot wallet, exploiting security gaps to steal a substantial amount of cryptocurrency.
In response, BingX froze transfers and initiated emergency procedures to mitigate losses. Users are experiencing delays, with cryptocurrency transactions taking up to 24 hours to complete due to added security checks.
Cold Wallets Recommended for Enhanced Security
This incident serves as a stark reminder to cryptocurrency investors about the importance of cold storage solutions like Ledger and Trezor. Unlike hot wallets, cold wallets are offline, providing significantly better protection against online threats.
BingX Responds, Aims for Recovery and System Improvements
According to reports, over $52 million was stolen in the attack. BingX has managed to freeze $10 million of the stolen funds and is actively working to recover the remaining amount. The exchange is also implementing system improvements to bolster security, a process expected to take several weeks.
