This is the third major cryptocurrency exchange hack in Japan in a decade.
DMM Bitcoin promises to cover losses and limit spot purchases.
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Japanese cryptocurrency exchange DMM Bitcoin has announced a devastating loss of $305 million as a result of a recent hack.
The breach resulted in 4,502.9 Bitcoin (BTC) being stolen from the platform.
Japanese Crypto Exchange Hacked for $305 Million
DMM Bitcoin disclosed the security breach in a blog post and said it had taken immediate steps to prevent further unauthorized transactions.
The cryptocurrency exchange assured users: “Please rest assured that we will procure an amount of Bitcoin equivalent to the outflow with the support of our group companies and guarantee the full amount.”
Following the incident, DMM Bitcoin temporarily restricted all spot purchases on its platform. Additionally, the company warned that there could be delays in yen withdrawals, urging users to remain patient in the wake of the hack.
Quantum Economics founder and CEO Mati Greenspan noted that this was the third major cryptocurrency exchange hack in Japan in 10 years.
“The first was Mt. Gox in 2014, and then CoinCheck in 2028. You’d think by now people would have learned not to keep their crypto on these centralized exchanges. Both previous hacks effectively stopped cryptocurrency adoption in Japan for quite some time. I suspect this time will be no different, as people often learn the wrong lessons from these kinds of things,” Greenspan told BeInCrypto.
The incident highlights the vulnerabilities that persist within the cryptocurrency industry, even at well-known exchanges. Nonetheless, DMM Bitcoin’s swift response and commitment to recoup its losses reflects its dedication to maintaining customer trust and market stability.
Alex
