Today Bithumb has officially confirmed that it lost $ 30 million as a result of a hacker attack, and its security team intends to initiate a process of reimbursement, CCN reports.
After the incident occured on June 20, Bithumb quickly followed the procedure to immediately report [the] incident to KISA announcing that about 35 billion Korean Won worth amount of cryptocurrency was stolen. However, as we undergo recovery process on each cryptocurrency, the overall scale of damage is getting reduced. Hence, we expect that the overall damage will be less than the amount we initially expected.
The initial value of $ 30 million was consistent with the estimated amount of stolen funds, but already at the first stages of the investigation, conducted jointly with KISA, Bithumb employees found that they can recover some of the losses.
As the example of Bithumb showed, even such sites are not protected from hack, despite the fact that they devote a significant part of their budget to the security. However, in this case, the victims of the hacker attack will be fully compensated for all the losses, which does not always happen on smaller sites.
Bithumb has been administering company’s asset and customers’ asset, and all customers cryptocurrencies, as well as KRW asset, are safely stored on cold wallet and bank respectively. Moreover, we would like to ensure that Bithumb currently has about 500 billion KRW worth of company’s fund. The amount of damage that occured this time will be fully covered by Bithumb’s own company fund.
At the end of 2017 Bithumb had more than $ 1 billion in cryptocurrencies, and its net profit for the past year was about $ 300 million. On June 21, Bithumb reported that it currently has about $ 450 million of its own funds and can freely pay investors their money as soon as the investigation will be completed.