Bitget pauses withdrawals after up to $352m breach

Cryptocurrency exchange Bitget has temporarily paused withdrawals after experiencing a security breach that may have led to losses of up to $351.6 million, according to CEO Gracy Chen. The exchange, based in Seychelles, reported unusual transfers from some of its hot wallets on September 24.

Chen stated that the company's cold wallets and user funds remain safe. However, the incident has raised concerns about security practices within the digital asset industry. Blockchain researchers had previously flagged approximately $183 million in unusual transfers from wallets linked to Bitget.

Blockchain analytics firm Arkham Intelligence reported that the transactions involved three Bitget hot wallets and one cold wallet across multiple blockchains before the funds were consolidated into a single address. If confirmed, the loss would surpass the $320 million stolen from Liquid Network earlier in September and could be the largest crypto hack of the year.

Bitget had previously reported its user protection fund held over $464 million as of March. The exchange also publishes monthly proof-of-reserves updates, with coverage extending to more than 20 assets in September. Further details on the exchange's response and recovery efforts are pending.