CoinEx assures users that funds are safe following exploit

by MK Manoylov

Security • September 12, 2023, 2:35PM EDT

Published 1 minute earlier on

The Block

Quick Take

Crypto exchange CoinEx assured users that funds are safe following an exploit Tuesday.
The funds drained belonged to hot wallets holding exchange assets.
CoinEx temporarily suspended deposits and withdrawals as it rectifies the situation.

Crypto exchange CoinEx assured its users that funds are safe following an exploit Tuesday.

CoinEx said on social media that it noticed "anomalous withdrawals" from hot wallets holding exchange assets.

"Promptly recognizing the gravity of the situation, we immediately established a special investigative team to delve into the matter," it wrote.

The exchange confirmed that unauthorized transactions involving ETH -0.59% , TRON and MATIC +0.066% occurred and that the "precise amount of the loss is still being determined." The Block previously reported that the initial amount drained neared $28 million.

"We assure all users: your assets are secure and untouched. Affected parties will receive 100% compensation for any loss due to this breach," CoinEx added. The exchange temporarily suspended deposits and withdrawals as it rectifies the situation.

About Author

MK Manoylov has been a reporter for The Block since 2020 — joining just before bitcoin surpassed $20,000 for the first time. Since then, MK has written nearly 1,000 articles for the publication, covering any and all crypto news but with a penchant toward NFT, metaverse, web3 gaming, funding, crime, hack and crypto ecosystem stories. MK holds a graduate degree from New York University's Science, Health and Environmental Reporting Program (SHERP) and has also covered health topics for WebMD and Insider. You can follow MK on X @MManoylov and on LinkedIn.