EXMO Crypto Exchange Hacked

The latest news making the round in the crypto industry is that Uk cryptocurrency company EXMO has been hacked by malicious actors. It is confirmed in one of the interviews granted by the company that almost five percent of its assets — consisting of BTC, XRP, ZEC, USDT, ETC, and ETH—have disappeared from EXMO’s hot wallets. It should be recalled that EXMO revealed earlier in the week that parts of its hot wallets aren’t faring according to plan.

EXMO warns customers against making transactions at the moment

Though EXMO executives have swiftly commenced intense investigation to curtail the present situation, the platform has charged its users to desist from depositing into their wallets for the time being. In the same vein, the company temporarily suspended all withdrawals to limit the level of damage caused by the unwanted incident.

Based on the press released by the company, hot wallets are solely affected by the incident. Customers running a cold storage account have no reason to panic because none of the cold storage wallets was manipulated. EXMO has charged its customers to keep a close watch on their respective wallets while the executives continue searching for timely and long-lasting solutions.

With over 2,7000 customers, EXMO is inarguably one of the world’s largest digital exchange platforms as we speak. It oversees not less than $52 million (crypto funds) transactions daily, making it one of the busiest cryptocurrency exchange companies in the United Kingdom.

Meanwhile, the company is working closely with security agents toward finding the people behind the criminal acts. They are equally finding ways to provide a higher security level for all hot wallets to avoid such occurrences in the future. Affected customers shouldn’t be too worried about the whole situation because they will refund their stolen funds. According to EXMO, via its social media accounts, the company has promised to take up crediting all affected wallets.

Online theft remains crypto space’s greatest enemy

This is one of the reasons why many wealthy individuals don’t like investing in the crypto world. They often argue that many exchange companies don’t provide massive security against hackers and other online theft forms. To curb the vulnerability of the crypto space to hackers, many digital exchange firms advise their customers to engage in cold storage instead of hot wallets.

It is believed that cold storage boasts of utmost security as it isn’t connected to the internet. All assets in cold storage are entirely offline. On the contrary, hot wallets are connected to the internet making it possible to be manipulated by technically sound anyone. As part of their desire to avoid the same occurrence in the future, Exmo’s executives are reviewing the platform’s security system to block every loophole that can be explored by cyberpunks.