Bitget says its security systems flagged unauthorized transfers from a portion of its hot wallets at 18:31 UTC on September 24, with roughly $351.6 million in assets affected.<\/p>\n
The exchange says every dollar of that loss falls under its User Protection Fund, so customers\u2019 balances will stay intact even with withdrawals paused as it reviews the incident.<\/p>\n
According to CEO Gracy Chen, Bitget runs<\/a> a three-tier wallet system, and the breach touched a slice of the hot and warm wallet layers.\u00a0Cold wallets, which hold the bulk of the exchange\u2019s assets, were not affected, and the security team\u2019s emergency protocols kicked in within minutes of the detection, flagging and reporting the addresses tied to the abnormal transfers.<\/p>\n The exchange\u2019s User Protection Fund currently holds more than $464 million, well above the $351.6 million shortfall, and Bitget plans to use it to cover the full loss.<\/p>\n \u201cWe will not run from this, and every dollar will be accounted for,\u201d Chen wrote in an update posted on X. She added that a full incident report, covering root cause and corrective steps, would follow within 24 hours of the initial notice.<\/p>\n According to Bitget, the attacker got into a backend system inside its wallet infrastructure, used<\/a> it to spoof transaction data, and tricked the exchange\u2019s authorization process into releasing funds.<\/p>\n Chen ruled out a private key compromise, which narrows what went wrong, and stated that containment is confirmed, with no further unauthorized transfers possible.<\/p>\n On-chain investigator Specter claimed<\/a> that the North Korea-linked Lazarus Group was behind the attack, a position supported by analyst Conor Grogan.<\/p>\n \u201cGenerally they do these on the weekends but perhaps they had a limited window for the exploit and didn\u2019t want to risk it,\u201d Grogan wrote.<\/p>\n The incident adds to what has been an eventful stretch for crypto exploits, with $1.1 billion stolen<\/a> across 212 incidents in the first half of the year, and more than half of that traced back to the Lazarus Group.<\/p>\n The post Bitget Reports $351M Hot Wallet Breach, Says User Funds Are Covered<\/a> appeared first on CryptoPotato<\/a>.<\/p>","protected":false},"excerpt":{"rendered":" Bitget says its security systems flagged unauthorized transfers from a portion of its hot wallets at 18:31 UTC on September 24, with roughly $351.6 million in assets affected. The exchange says every dollar of that loss falls under its User Protection Fund, so customers\u2019 balances will stay intact even with withdrawals paused as it reviews […]<\/p>\n","protected":false},"author":0,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":["post-232158","post","type-post","status-publish","format-standard","hentry","category-discovery"],"_links":{"self":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts\/232158"}],"collection":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=232158"}],"version-history":[{"count":0,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts\/232158\/revisions"}],"wp:attachment":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=232158"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=232158"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=232158"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}Lazarus Group Could Be Responsible<\/h2>\n