Crypto exchange BingX faces an estimated $43 million security exploit: PeckShield

Reported by The Block: BingX suffered an apparent security exploit on its hot wallet.
Security analysts at PeckShield estimated the loss to be $43 million in cryptocurrencies.

The Singapore-based crypto exchange BingX suffered a security hack on its hot wallet, resulting in a significant loss of funds.

Security analysts at PeckShield noted that the incident resulted in an estimated loss of $43 million in cryptocurrencies, though the exchange describes it as "minor" and manageable.

PeckShield added that most stolen funds were transferred in multiple tranches.

Amid the exploit, BingX’s chief product officer, Vivien Lin, said the incident was identified on September 20 at around 4:00 a.m. Singapore time when BingX’s technical team detected what is described as “unusual network access, suspecting a hacker attack” on the exchange’s hot wallet.

Withdrawals have been put on hold as part of an emergency plan to prevent further damage. "We immediately started our emergency plan, including the urgent transfer of assets and withdrawal suspension. There has been minor asset loss,” Lin said.

The exchange said withdrawals would reopen in the next 24 hours and promised a compensation plan for users.

"Only minor losses so far, and we’ve got it covered. Most assets are safe in cold wallets, with only a small portion affected in the hot wallet," it claimed.