BingX is committed to refunding users after a security breach

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BingX, a Singapore-based crypto exchange, said it suffered a security breach that led to “minor” losses in its hot wallet on September 20 (Singapore time). The exchange pledges to fully reimburse users for any losses incurred due to the hack using its capital.

According to a statement shared by BingX product manager Vivien Lin, the company’s engineering team detected unusual network access around 4:00 AM Singapore time, suggesting a potential attack.

“We immediately started our contingency plan, including the urgent transfer of assets and suspension (withdrawal),” Lin said.

BingX has temporarily suspended withdrawals to perform urgent verifications and improve wallet services. Withdrawals are expected to resume within 24 hours after improvements to wallet services are completed.

The exchange assured customers that most assets are secured in cold wallets, with only a small portion affected.

“There was (a) minor loss of assets, but the amount is small and still being calculated,” Lin said, adding that the exchange will cover all losses from the hack using its own funds.

The breach was initially detected by blockchain security firm PeckShield, which reported more than $13 million in suspicious withdrawals. Web3 security firm De.Fi later estimated total losses at around $20 million.

According to data from EtherScan, various tokens worth millions of dollars were transferred from a BingX wallet labeled “BingX 15” to another address.

At the time of reporting, the compromised wallet still held over $13 million worth of crypto assets. Other investigators revealed that the funds were moved through the decentralized exchange Kyberswap, suggesting that the hackers were trying to launder stolen funds.

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