Hackers break into Upbit cryptocurrency exchange and steal $50 million

Some users suspect that the break-in was an inside job.

Major South Korean cryptocurrency exchange Upbit was hacked, resulting in a withdrawal of 342 000 Ethereum (approximately $48.5 million) from the platform. The perpetrators transferred the cryptocurrency to a new wallet that had been specially created for the occasion and later transferred all the coins to several other wallets. 

All Upbit transactions have been temporarily paused since November 27, 2019, and users can no longer withdraw or deposit funds. Upbit has transferred all assets to hardware repositories. According to company developers, proper operations will be restored in two weeks’ time. The company has also promised to reimburse the users who have lost funds during the breach, however, they have yet to share any details on this process. 

Users on social media, including Reddit, have expressed their doubts on the veracity of the information about the breach. Some of them believe that it was an inside job done by employees working for the platform, or even its founders. The main argument that supports this theory is the time of the breach: the hackers made their move during routine cryptocurrency transfers between internal wallets.