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[TECHNOLOGY] · Seychelles · 9 sources

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Bitget to resume phased withdrawals after $390 million security breach

Cryptocurrency exchange Bitget is recovering from a major security breach that resulted in the theft of digital assets valued at up to $390 million across seven blockchains. The incident, first detected on September 24, involved unauthorized transfers from the platform’s hot and warm wallet systems. While cold wallets remained unaffected, the attackers exploited a critical backend vulnerability to spoof transaction approvals.

Bitget CEO Gracy Chen stated that the company’s User Protection Fund, valued at over $464 million, is sufficient to cover the losses and that user balances remain safe. Investigators have identified IP addresses linked to VPN services previously used by North Korean hacking groups, suggesting a possible connection to state-sponsored actors.

To ensure system stability, Bitget is resuming withdrawals in a phased approach. Bitcoin withdrawals are scheduled to restart on September 28, followed by Ethereum on September 29 and USDT on September 30. Other assets, including XRP, and fiat services are expected to return by October 2. The exchange has also launched a recovery bounty program offering rewards of up to 10% to assist in the investigation.

Entities

Arkham Intelligence · Binance · Bitget · Gracy Chen · Mandiant · North Korea

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