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Bithumb was hacked through an employee system; crypto exchange Coinbase suffered a leak through a contractor

South Korea's second-largest exchange by trading volume, Bithumb, discovered on October 27 unauthorized access to a corporate system where employees communicate and exchange files. On the same day, Coinbase reported its own leak — but not because the exchange itself was hacked.

Bithumb was hacked through an employee system; crypto exchange Coinbase suffered a leak through a contractor

What matters in 30 seconds

30 SEC
  • 01

    Bithumb's DaouOffice was hacked — an internal work service from Daou Technology

  • 02

    Names, departments and contacts of exchange employees were stolen; no cryptocurrency is missing

  • 03

    Broker Daishin Securities confirmed a data leak affecting 38,490 clients

  • 04

    As of October 14, cyberattacks had affected 16 financial organizations in Korea

  • 05

    Coinbase leaked the contacts of some users through contractor Amplitude

What exactly was stolen from Bithumb?

DaouOffice compromised. This is an internal work service from Daou Technology. According to Money Today, names, department names and employee contacts were stolen.

  • Regulators notified - KISA and PIPC
  • Client data being reviewed - the data employees forwarded to each other in correspondence
  • Not disclosed - the number of affected people and the method of entry

The exchange's position. Bithumb insists that the corporate perimeter is physically separated from the trading one.

Bithumb: "client virtual assets are not accessible through this hack". No cryptocurrency losses have been recorded.

Why is this not an isolated case?

This is part of a series of attacks on Korea's financial sector. Several major players came under attack at once.

  1. Daishin Securities. The broker confirmed a data leak affecting 38,490 clients - names, contacts, addresses.
  2. Mirae Asset Global Investments. The asset manager blocked anomalous access to part of its web systems.
  3. FSS review. On Wednesday the supervisory authority was inspecting all three companies at once.

The scale is wider. FSS head Lee Chan-jin previously said that as of October 14, cyberattacks had affected 16 financial organizations in the country.

What does Coinbase have to do with it?

Coinbase has a different story. Its own systems were not hacked. The leak occurred at analytics contractor Amplitude.

  • Contacts exposed - for a small portion of Coinbase users
  • Other companies affected too - those working with the same service
  • Affected parties being notified - by email

What next?

No link between the two incidents has been established yet. Bithumb continues its internal review.

For the exchange, this is the second tough year in a row. In February it mistakenly credited users with 620,000 BTC instead of 620,000 won. In June, PIPC fined it 210 million won for transferring client data to foreign companies without consent.

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Where does the money you trade with actually sit?

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Where to next

Source: CoinDesk2 views