Subsidiary of Bit Mining reports a $3 million cyberattack

Key takeaways:

  • BTC.com reported losing its assets by about US $2.3 million.
  • BIT Mining and BTC.com informed Chinese law enforcement authorities in Shenzhen about the cyberattack.

BTC.com, a blockchain browser and mining pool revealed on Monday that it had been hacked earlier this month and had stolen US$700,000 in client funds as well as around US$2.3 million in internal funds. A hack that targeted BTC.com resulted in a significant loss of business and client assets.

On December 3, attackers took over $2.3 million in company assets and around $700,000 in client assets. The mining pool’s leading firm, BIT Mining Limited, released the formal announcement on December 26.

BIT Mining and BTC.com alerted Shenzhen-based Chinese legal authorities to the incident. The local authorities then started an inquiry into the occurrence, gathering information and asking relevant Chinese agencies for aid. The notice mentions that some of the assets have already been recovered for BTC.com due to the efforts.

The company has introduced technology to “better block and detect hackers,” BIT Mining claimed, adding that it “will spend enormous efforts to retrieve the stolen digital assets.” Despite the event, BTC.com is still providing its customers with mining pool services, according to the company:

“BTC.com is currently operating its business as usual, and apart from its digital asset services, its client fund services are unaffected.”

BTC.com, one of the largest cryptocurrency mining pools in the world, provides multicurrency mining services for several virtual currencies, including Bitcoin BTC and Litecoin LTC. BTC.com also runs blockchain browsers in addition to mining services. An NYSE-listed, publicly traded company whose parent company is BIT Mining.

According to data from BTC.com, the seventh-largest mining pool globally has a hash rate of 5.80 exahashes per second (EH/s), 2.5% of the overall mining pool distribution for the last seven days. More than 5% of the overall hash rate is made up of its total contribution.

China decided to prohibit all cryptocurrency activities outright last year. It is presently handling another cryptocurrency-related case due to the investigation into the cyberattack on BTC.com. Despite the prohibition, China lost its position as the leading provider of Bitcoin hash rates in 2021 and fell to second place before rising again in January 2022.

Recently, many cyberattacks occurred against numerous DeFi projects, where hackers stole $173,000 worth of assets from Defrost Finance, and from Bitkeep users, hackers stole $8 million worth of assets.

Deep Dalal
Deep Dalal

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