South Korea-based crypto exchange GDAC reported a $13 million loss in its hot wallet after the cyberattack.
After the attack on April 9, 2023, the authorities suspended deposits and withdrawals. According to the announcement made by GDAC, 10 million Wemix tokens, 60.80 Bitcoins, 350 Ethereums and 220,000 USDT were stolen from the hacked hot wallet.
Investigations on the Attack Continue
The stolen assets allegedly represent approximately 23 percent of the total value of GDAC’s client assets on the platform, according to the statement.
In response to this attack, GDAC suspended wallet systems, including deposits and withdrawals, and temporarily disabled the respective servers to avoid further losses. In addition, the exchange cooperated by informing the local police and the Korea Internet and Security Agency (KISA) about the incident.
Making a statement about the attack, the stock market did not share any details about the security problems that caused the incident.
GDAC has not yet provided users with a timeline for when deposits and withdrawals will begin, citing the need to thoroughly research and address the security issues that led to the breach.
Centralized cryptocurrency exchanges such as GDAC often use a combination of hot and cold wallets to manage user funds. Internet-connected hot wallets allow for fast deposits and withdrawals, but are more vulnerable to attacks. Cold wallets are offline storage solutions that offer more security against cyber attacks.
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