BingX has temporarily suspended withdrawals following a suspected hacker attack on its hot wallet, with blockchain analysts estimating losses exceeding $40 million.

Singapore-headquartered crypto exchange BingX has paused withdrawals after detecting a suspected hacker attack on its hot wallet, with blockchain analysts estimating losses surpassing tens of millions of dollars.

In an X post on Sept. 20, BingX’s chief product officer Vivien Lin said that the breach occurred at around 4 a.m. Singapore time on Sept 20, prompting the company to launch an “emergency plan.”

At around 4am 20 Sep Singapore time, our technical team detected abnormal network access, suspecting a hacker attack on BingX's hot wallet. We immediately started our emergency plan, including the urgent transfer of assets and withdraw suspension. There has been minor asset loss,…

— Vivien Lin @ BingX (@Vivien_BingX) September 20, 2024

Per Lin, the exchange transferred its assets to secure locations, adding that the loss is still being calculated but reassured users that most assets are stored in cold wallets, which were not impacted by the attack. While the exact scale of the hack was not revealed, Lin says there was a “minor asset loss.”

“There has been minor asset loss, but the amount is small and still being calculated.”

Vivien Lin

Blockchain forensic firm PeckShield, however, suggested that the breach may be more significant, estimating that roughly $26.68 million in assets, including Ethereum (ETH) and Binance Coin (BNB), had already been moved by the hacker. An additional $16.5 million was reportedly drained from the platform soon after. Analysts traced the stolen funds to two wallet addresses and estimate the total loss to be over $43 million.

Lin emphasized that BingX would “fully compensate” for any losses using its own capital and expects withdrawals to resume within 24 hours. The company stressed that trading services are functioning as usual and that user funds remain secure under its layered asset management system.