- Japanese crypto exchange DMM Bitcoin’s security breach is stated as the seventh largest hack ever.
- The platform has announced that it will raise 50 billion Yen to buy Bitcoin.
The largest Japanese crypto exchange, DMM Bitcoin, made an official statement on Wednesday that it will raise 50 billion Yen to buy Bitcoin. The Bitcoin purchase worth $321 million is to reprimand customer losses over the recent security breach according to Bloomberg reports.
On June 3, DMM Bitcoin reported a security breach that led to the loss of 4,502.9 BTC worth approximately $300 million. Following this, the crypto exchange platform halted spot exchanges temporarily and stated that they would conduct a thorough investigation.
Additionally, the hacker who stole the $300 million worth of Bitcoin was then observed to have transferred them to ten different wallet addresses as reported by Lookonchain.
What Further Measures Is DMM Bitcoin Taking?
The exchange platform has stated that it will plow funds into buying Bitcoin. Additionally, it has expressed that the platform would be careful not to affect the BTC market with its significant purchase of the leading cryptocurrency.
Notably, the crypto exchange in its statement on June 3 expressed its apologies. It also assured the customers that it will make whole, the incurred losses. Accordingly, the platform will use this enormous purchase of BTC to compensate customers’ BTC holdings.
Moreover, the haul was found to be the seventh biggest crypto hack ever. It led to the squandering of significant amounts of BTC. Furthermore, Japan’s Financial Services Agency has instructed the crypto exchange to conduct a detailed investigation into the security breach.
Besides, recently there has been a spike in crypto-related crimes as observed by multiple sources. The Hong Kong police for instance identified a notable surge in counterfeit bank notes within crypto-related crimes over the past year.
Additionally, the recent month has seen multiple arrests of both small-scale traders/hackers and leading experts on charges of regulatory concerns or money laundering.
Meanwhile, Bitcoin price has shown an upward movement in the past 24 hours. It is currently trading at $70,954 raising the crypto exchange’s loss to $319 million.
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