Cryptocurrency exchange Hotbit suspended operations for maintenance after the cyber attack and reported a possible data breach. User funds are safe.
Hotbit underwent a serious attack by cybercriminals, which began on April 29 at about 23:00 Moscow time. This paralyzed the work of the exchange services. As a result, the trading platform was forced to leave for maintenance, which will last at least seven days. The investigation and system update can take up to two weeks.
According to Hotbit, the hackers were unable to gain access to the exchange’s wallets, as security specialists managed to thwart them in time. After an unsuccessful attempt to steal cryptocurrencies, the hackers deliberately deleted the database, which numbered about 2 million users. Although the database has been backed up, Hotbit considers it necessary to conduct a comprehensive review of the database.
Since attackers gained access to user data, there is a risk of leaking phone numbers, email addresses, and information about users’ digital assets. 2FA passwords and keys are encrypted, so in theory they should be safe. However, Hotbit technicians advised users to change passwords and ignore any messages from individuals and organizations claiming to be representatives of the exchange.
Given the suspension of all operations, Hotbit announced the cancellation of all outstanding trade orders to prevent losses. The exchange will assume any losses that may arise from the holders of positions on the traded instruments during the technical work on the exchange. Hotbit chief security officer Alex Zhou has confirmed that users’ funds are safe. The exchange began to move all cryptocurrencies from hot wallets to cold ones.
The time allotted for the maintenance of the exchange is causing concern among Hotbit users due to recent incidents involving two Turkish cryptocurrency exchanges. Last week, the Thodex trading platform abruptly stopped trading and its founder fled the country. Another Turkish site, Vebitcoin, also announced it was shutting down, and its employees were detained by law enforcement agencies on suspicion of fraud.
