XT Exchange is working diligently to address the recent theft of $1.7 million in assets from its platform. The technical team is currently conducting an urgent investigation to identify the source of the abnormal transfer of assets. Despite this incident, XT Exchange wants to reassure its users that their assets remain secure and unaffected.
The security breach was first reported by blockchain security platform Peckshield, which revealed that the attacker had exchanged the stolen assets for 461.58 ETH. XT Exchange, a Seychelles-based crypto trading platform with significant reserves, has taken immediate action to address the situation. The firm has suspended all coin withdrawals while the technical team conducts necessary upgrades and maintenance on the wallet system.
XT Exchange has emphasized its commitment to user security and transparency. The company plans to implement the Merkel Tree Asset Proof System in mid-December to further enhance security measures. Additionally, XT Exchange has established asset reserve funds that are 1.5 times greater than those of its users on the platform, demonstrating its dedication to protecting user assets.
This incident is part of a larger trend of centralized exchange (CEX) hacks in 2024. Other exchanges, such as M2, DMM Bitcoin, WazirX, and Indodax, have also fallen victim to significant breaches this year. These security breaches highlight the importance of implementing robust security measures within the crypto industry to protect user funds and prevent unauthorized access to assets.
XT Exchange is working diligently to resolve the issue and ensure the security of user assets. The company remains committed to upholding a user-centric approach and maintaining strict platform fund management practices. While coin withdrawals are currently suspended, XT Exchange is taking proactive steps to address the situation and prevent future security breaches.