Following this attack, the Singapore-based cryptocurrency exchange took urgent action and moved its assets to secure wallets and tried to reassure users. However, the extent of the incident still remains unclear.

Vivien Lin, BingX’s chief product officer, stated in a post on the X platform on September 20 that the breach occurred around 4 a.m. Following the incident, the company quickly implemented an “emergency plan” and moved its assets to safe locations, Lin said.

According to Lin, losses are still being calculated, but it was stated that the assets of the majority of users were stored in cold wallets and were not affected by this attack. These statements made by BingX to reassure users aim to give confidence, although there is uncertainty about the exact extent of the attack.

After the initial detection of the attack, blockchain forensic analysis firm PeckShield suggested that the incident may have been more serious and the attacker may have already transferred approximately $26.68 million worth of assets. These assets included cryptocurrencies such as Ethereum and Binance Coin (BNB).

PeckShield reported that an additional $16.5 million was withdrawn from the platform following the attack. When these two events are combined, the total loss is estimated at over $43 million.

Blockchain analysts managed to track the stolen funds to two wallet addresses, but the identity of the attackers and where exactly they transferred the funds are not yet known for certain.

Vivien Lin stated that following the incident, BingX will “fully compensate” for the losses with its own capital and that they expect withdrawals to resume within 24 hours.

The company also emphasized that trading services continue uninterrupted and user funds are safe thanks to BingX’s layered asset management system.

These statements are considered as the exchange’s effort to protect user trust, but it should be taken into account that the full extent and effects of the attack are not yet clear.

Following the attack, concerns began to increase within the cryptocurrency community. Such attacks reignite debates about the security of centralized exchanges. Crypto exchanges often keep large amounts of funds in hot wallets, making them vulnerable to cyber attacks.

Hot wallets can be targeted more easily by hackers because they are connected to the internet. For this reason, many exchanges try to ensure security by keeping the majority of their funds in cold wallets.

In its statements following the incident, BingX stated that most assets are stored in cold wallets and emphasized that they implemented such security measures.

However, the fact that attackers gained access to assets in hot wallets and such a large loss raises questions about how effective the security strategies of crypto exchanges are.

This attack experienced by BingX draws attention to the security vulnerabilities of centralized exchanges and reveals that stricter measures should be taken regarding the responsibility of protecting users’ funds.

How quickly BingX can recover and protect user trust from this attack will play a key role in future exchange security discussions.