Justin Sun-Linked HTX Resumes Services Following $30M Exploit; Crypto Exchange Hacked Twice In 2023

HTX, the cryptocurrency exchange linked to Justin Sun, who serves as its adviser, has restored its services after becoming a victim of a hack for the second time since rebranding from Huobi. The hack saw around $30 million leave the platform's coffers.

Following the hack, HTX announced that it would restore its services within 24 hours.

"Huobi HTX is expected to resume deposit and withdrawal services within 24 hours," the exchange said Thursday morning, adding that "the specific resumption time will be notified again. Please pay attention to the platform announcement."

The Seychelles-based cryptocurrency exchange said that the hacked amount was "very small" compared to the total amount of funds the platform had and promised to "fully compensate" the users. It claimed that the hack had already been "properly handled."

"Huobi HTX has now properly handled this attack. Huobi HTX once again promises to fully compensate for the losses caused by this attack and 100% guarantee the safety of user funds. The amount of funds lost by Huobi HTX this time accounts for a very small amount of the total funds of the platform. The normal operation of Huobi HTX will not be affected by this. Users should rest assured," it said in a blog post.

The exchange also thanked its users, adding that it would take all necessary measures to safeguard the funds and prevent incidents such as this from happening again.

"Thank you for your trust and support. Protecting user assets and information security is our highest responsibility, and we will take all necessary measures to prevent such incidents from happening again," HTX said.

On Wednesday, the crypto exchange, which was founded in China, lost $30 million due to a hot wallet breach that was initially reported to be around $13.6 million.

Sun, the Chinese-born Grenadian crypto entrepreneur, confirmed the hack and assured customers that they would be fully compensated.

"HTX and Heco Cross-Chain Bridge Undergo Hacker Attack. HTX Will Fully Compensate for HTX's hot wallet Losses. Deposits and Withdrawals Temporarily Suspended. All Funds in HTX Are Secure, and the Community Can Rest Assured. We are investigating the specific reasons for the hacker attack. Once we complete the investigation and identify the cause, we will resume services," he shared in a post on X.

The exchange rebranded as HTX in September and experienced a loss of approximately $8 million due to a hack the same month.