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CoinEx Halts XDAG Trading and Withdrawals After Massive Hack

Published 07/11/2023, 15:06
Updated 07/11/2023, 15:15
CoinEx Halts XDAG Trading and Withdrawals After Massive Hack
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  • CoinEx decided to delist XDAG trading pairs and stop deposit/withdrawal services for XDAG starting November 6, 2023.
  • On September 12, 2023, CoinEx experienced a security breach, leading to a significant theft of XDAG holdings.
  • CoinEx initiated discussions with the XDAG core development team to address the issue of reimbursing affected users.

Cryptocurrency exchange CoinEx announced on November 6 what led to the delisting of XDAG. The exchange suffered a massive hacking incident in September that resulted in the theft of a significant portion of the asset’s circulation supply.

On September 12, CoinEx suffered a security breach by unknown hackers who managed to steal all XDAG holdings from the exchange’s hot wallets. The amount stolen accounted for a large portion of the total supply, according to CoinEx.

After the hack, the exchange reportedly entered into discussions with the XDAG core development team to explore potential solutions for reimbursing affected users. However, the announcement stated that after multiple unsuccessful attempts over two months, the parties failed to reach an agreement.

Consequently, CoinEx has decided to delist XDAG trading pairs and cease deposit and withdrawal services for the asset as of November 6, 2023. The exchange cited its commitment to prioritizing user interests in light of the prolonged uncertainty faced by its XDAG holders.

CoinEx stated that the number of stolen assets accounted for a large proportion of XDAG’s circulation, and the currency’s liquidity was insufficient.

The exchange claimed that it would distribute compensation to impacted users in the form of USDT, valued at the hourly average XDAG/USDT price between the hack and the delisting announcement. Withdrawals had already been halted immediately after the breach.

Despite the hack, the price of XDAG hasn’t been affected much, as it hovers around $0.004291, according to the latest data from CoinMarketCap.

The post CoinEx Halts XDAG Trading and Withdrawals After Massive Hack appeared first on Coin Edition.

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