BingX Hack: $43M in Altcoins Swapped for ETH and BNB After Major Breach

• The BingX cryptocurrency exchange recently suffered a significant hack, resulting in losses amounting to over $43 million.
• The hacker moved the stolen funds to specific wallet addresses and subsequently swapped them for major cryptocurrencies like ETH and BNB.
• A swift security response from BingX ensured the immediate suspension of withdrawals and a pledge to fully compensate affected users from the company’s reserves.

Discover the details behind the recent BingX exchange hack, how the funds were moved, and the exchange’s response to secure its community.

BingX Exchange Hack: Over $43 Million in Losses

In the latest string of cryptocurrency hacks, BingX has been hit with a theft exceeding $43 million, primarily involving altcoins and stablecoins. The hacker orchestrated the movement of stolen assets to several addresses, notably “0x940” and “0xF7e8”. The stolen funds were swiftly converted into Ethereum (ETH) and Binance Coin (BNB), further complicating the retrieval process.

Details of the Hack and Immediate Response

On-chain analysis reveals that the hacker made off with 360 different altcoins from BingX’s hot wallets. A detailed breakdown by The Data Nerd indicates that tokens worth about $43.3 million were transferred, including $17.08 million in USDT, $3.35 million in USDC, and $1.04 million in WUSD. BingX’s detection of abnormal wallet activity prompted an urgent response, including transfer suspensions and an immediate internal audit to assess the damage and secure remaining assets.

Exchange’s Assurance to Affected Users

In a bid to mitigate panic, Vivien Lin, head of BingX Labs, assured users that all stolen funds would be compensated from the exchange’s reserves. Lin emphasized that most of BingX’s assets are stored in cold wallets, minimizing the impact of such hacks. The exchange’s layered asset management system played a crucial role in containing the breach’s fallout and ensuring user funds’ safety.

A Trend of Increasing Crypto Hacks

The BingX hack is not an isolated incident but part of a worrying trend of increased crypto breaches in recent weeks. Just days prior, the Banana Gun hack led to $1.4 million in Ethereum losses. Additionally, a Genesis creditor reported losing $243 million in a sophisticated scam. The escalation of such attacks underscores the critical need for robust security measures and user vigilance in the crypto ecosystem.

Conclusion

This latest hack on BingX serves as a stark reminder of the vulnerabilities inherent in the cryptocurrency space. While the swift and transparent response from BingX has provided some reassurance, users must continually exercise caution. As BingX moves to enhance its security protocols and compensate its users, the broader crypto community is reminded of the persistent need for heightened security and regulatory measures.