Cryptocurrency Exchange Suspends Withdrawals After Major Security Breach
XT Exchange has temporarily halted withdrawals for all digital assets after a suspected security breach.
Blockchain security firm PeckShield reported that the exchange may have been compromised, with an attacker allegedly stealing $1.7 million in cryptocurrency before converting the funds into Ethereum.
PeckShield’s analysis showed that the hacker swapped the stolen assets for 461.58 ETH, which were then transferred to a wallet linked to the address “0xB43f.” The blockchain community flagged this activity, prompting the cybersecurity firm to issue a detailed alert regarding the breach.
In response to the incident, XT Exchange issued a statement on its social media platform, acknowledging the abnormal transactions originating from its wallet infrastructure. However, the exchange reassured users that their assets remained secure.
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XT Exchange emphasized that it maintains reserves 1.5 times greater than its users’ assets, ensuring that potential losses could be covered. The platform also announced plans to launch a Merkel Tree Asset Proof System in December to enhance transparency and further build user trust.
With a reported 24-hour trading volume of over $3.15 billion, XT Exchange is a prominent player in the cryptocurrency space, holding total assets of approximately $146.1 million. However, this breach has raised concerns about the strength of its security measures, leaving users and industry observers to question whether this is a one-off incident or a sign of deeper vulnerabilities.
Alexander Stefanov
Reporter at CoinsPress
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.
