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Japanese Crypto Exchange DMM Bitcoin Loses $300 Million Worth of BTC In Latest Leak – Crypto News

Published

2 years ago

June 1, 2024

Dripp

Earlier today, the Japanese crypto exchange DMM Bitcoin reported losing over $300 million worth of Bitcoin in “an unauthorised leak” from its digital wallet. This comes at a time when another defunct Japanese exchange Mt. Gox has been working on its repayment plans.

DMM Bitcoin Exchanges Loses 4,502.9 BTCs

DMM Bitcoin has refrained from providing specific details regarding the “leak.” However, Chainalysis, a global cryptocurrency analysis firm, identified it as one of the most significant crypto breaches to date.

In a social media post, Chainalysis announced, “Today’s hack of Japanese exchange DMM Bitcoin, involving $305 million worth of bitcoin, stands as the largest breach since December 2022 and ranks as the 7th largest crypto hack in history.” The firm marked the funds associated with the incident as “stolen.”

According to DMM Bitcoin, the value of the “leak” amounted to approximately ¥48.2 billion, equivalent to 4,502.9 Bitcoins. The Japanese crypto exchange wrote:

“We are still investigating details of the damages. We have already taken measures to prevent the unauthorised leak, but we have also implemented restrictions on the use of some services to ensure additional safety”.

Customer Deposits Are In Tact

The company assured that all Bitcoin (BTC) deposits made by its customers would be fully safeguarded, with backing from its group entities.

Following the incident, Japan’s Financial Services Agency has instructed the company to conduct an inquiry into the root cause of the event and take measures to shield customers from potential losses. Concurrently, law enforcement authorities have initiated an investigation into the matter, as reported by the business daily Nikkei.

Despite being one of the most crypto-friendly countries, Japan has had a history of hacks, the biggest one being the Mt. Gox exchange going bankrupt after the theft back in 2014, losing more than $470 million. Later in 2018, another Japanese crypto exchange Coincheck faced a similar hack losing over $500 million.