DMM, a centralized cryptocurrency exchange, has experienced a significant loss of more than $305 million worth of Bitcoin due to a server hack on May 30. The exchange has confirmed the hack and assured users that all their deposits will be fully guaranteed.
As a result of the hack, DMM has temporarily suspended withdrawals, new account openings, new spot buy orders, and all new leveraged orders. However, limit orders that have already been placed will not be affected.
The news of the hack first broke on social media platform X when Whale Alert posted, “4,502 #BTC (308,948,771 USD) transferred from unknown wallet to unknown new wallet” at 10:14 pm UTC on May 30. The post included a link to blockchain data showing the outflow of 4,502.9 BTC, equivalent to $305 million, from a single wallet.
Initially, the owner of the wallet was listed as “unknown” by Whale Alert. However, DMM later confirmed on its website that it lost exactly 4,502 BTC in the attack, suggesting that it was likely the cause of the aforementioned transaction.
The exchange has already implemented measures to prevent further unauthorized leaks and has committed to acquiring the equivalent amount of BTC to compensate all affected users. The necessary funds will be obtained with the support of the company’s group companies.
DMM has urged users to stay updated on any notices as a new alert will be posted once all services resume.
DMM exchange, owned by e-commerce conglomerate DMM Group, was launched in January 2018. The company also operates a crypto mining firm.
Unfortunately, hacks and scams remain a persistent issue for crypto exchange users. In November, Poloniex suffered a loss of over $100 million when an attacker gained control of its private key. Similarly, GDAC experienced a similar attack in April 2023, resulting in $14 million in losses.
Article: Crypto exposes sudden rift among Democrats months ahead of election