HTX resumes Bitcoin and Ether services post $30 million hack
Digital asset exchange HTX has successfully reinstated deposit and withdrawal services for major cryptocurrencies, including Bitcoin (BTC) and Ethereum (ETH), following a recent security breach that saw the platform drained of $30 million.
Moving towards normal exchange operations
In an official announcement published to its website on Sunday, HTX reported the restoration of services for specific virtual assets through the ERC20 blockchain, signaling a positive step toward normalcy. The exchange assured users that additional services would resume shortly.
The statement listed more than 60 individual digital assets that have now been restored from the perspective of user withdrawals.
Amidst the controversy sparked by the hack, HTX emphasized its commitment to covering all losses from its reserves. The exchange pledged ongoing investigations and the reinforcement of security measures to prevent a recurrence of such events in the future. The announcement stated:
“Since its founding, HTX has remained committed to a policy of 100% reserves, ensuring our capacity to meet the withdrawal needs of all users.”
Airdrop event planned
The Seychelles-incorporated exchange also outlined details on an upcoming airdrop designed to incentivize community participation in the aftermath of the significant hack. The airdrop aims at users holding Rockets, with the value set at one USDT, and those possessing leading assets like HT, BTC and ETH will witness multiplied ticket values.
The platform experienced a significant security breach alongside a similar incident on the HECO bridge, resulting in total losses exceeding $85 million. Justin Sun, an advisor to the exchange, pledged full compensation for all losses and temporarily suspended deposits and withdrawals until identified risks were addressed.
Justin Sun controversy
Sun provided additional insights through a series of posts on the X platform. He confirmed the full functionality of major cryptocurrencies, including BTC, ETH, TRX and USDT, and expressed expectations for the restoration of all others by the upcoming week. Sun wrote:
“The majority of the work has been accomplished, and we aim to restore the remaining currencies gradually in the next few days, with all work expected to be completed by next week.”
Justin Sun, known for his involvement in platforms that recently faced security breaches, reassured users of the ongoing efforts to enhance safety measures. This incident marked the fourth unfortunate event linked to Justin Sun-related platforms within a short span. HTX, formerly known as Huobi, suffered a $30 million hack, following HECO bridge, Poloniex and a prior HTX security breach.
The controversial founder of the TRON blockchain network has come in for criticism of late. Travis Kling, Founder and Chief Investment Officer (CIO) of crypto fund Ikagai Asset Management, was scathing of Sun in comments made on the X platform on Monday. Kling wrote:
“[Justin Sun] has been hacked four times in the last two months” . . . “He’s a criminal and terrible for crypto and the sooner we get him out, the better.”
Earlier this month, the Poloniex crypto exchange fell victim to a $100 million hack, causing a stir within the wider crypto community. The exchange, like HTX, assured users of full compensation and even initiated a white hat bounty of $10 million for the safe return of assets, having identified the responsible party and indicating the initiation of criminal proceedings.
