Bitget Traces $388M Breach to Third-Party Security Flaw
- Bitget experienced a breach on Sept. 24, resulting in a loss of approximately $388 million due to stolen credentials from a third-party security flaw.
- The exchange began restoring Bitcoin withdrawals on Sept. 28, processing over 9,585 BTC transactions totaling about 4,098 BTC.
- Bitget’s User Protection Fund exceeds $464 million and remains available to protect customers while investigators trace the stolen assets.
- The attackers exploited trusted access without compromising private keys or cold wallets across multiple blockchain networks, including Ethereum.
- Forensic specialists Mandiant and Slowmist are assisting with the investigation, tracking missing cryptocurrency and validating remediation measures.
Bitget’s security breach on Sept.24 marked its first major incident in eight years, attributed to a vulnerability in an external security product that allowed unauthorized transfers of customer funds across various blockchain networks without compromising private keys.
Despite the breach, Bitget maintains customer balances remain unaffected due to its comprehensive reserve ratio and User Protection Fund exceeding $464 million.(Source)
