China’s Hotbit Goes Offline After Failed Cyber Attack

On Friday, April 30, 2021, Hotbit announced that its platform has suffered a cyber-attack and will be unavailable for the next 1-2 weeks. According to its Twitter handle, the cyber-attack started around 8:00pm UTC on Thursday. As a result, a lot of services on the exchange were paralyzed. 

Despite the cyber-attack, Hotbit informed its users that all funds on the platform are safe. Good news for the platform users and the exchange, the attackers were unable to access the funds on the exchange.

The attackers were only able to access the exchange’s database, while being unable to access the wallets. On this note, customers have been advised to be cautious and disregard any information from entities claiming to be representatives of Hotbit. 

Hotbit Plans to Recover From the Attack

Hotbit made it known to its users that it will be creating a new cold wallet for assets to be preserved. The platform is already taking steps to restore its activeness and enable users’ trade again. At the moment, 200 servers are already being reinstalled to set the platform running again.

Since the time of the attack, the exchange has been inactive and deposits, withdrawals and all forms of trading have been suspended. The platform however informed the general public that it will bear full responsibility for all losses incurred by active traders during the period of downtime.

Upon resumption of its services, all pending open orders will be cancelled and users will have to reactivate such orders. This will help to curb unexpected trading losses. There will also be payment of routine income distributions when the platform comes back to normal. 

How Users of the Exchange Reacted

While a few users have expressed their anger and frustrations on the incidence, majority have shown their concerns for the platform and have wished them well.

Commenting on their Twitter post, one user said, “Thank you for your all hard work, salute in your team. Please update us well so we can trade and access our accounts. God bless the Hotbit team.” It is expected that the platform will be back to normal in the next 7-14 days. 


Views and opinions expressed are solely those of the author and not of The DeChained or any affiliated party. Views or opinions expressed in this article (or any article on the website) are not financial advice. Articles are for informational purposes only. The author and The DeChained may hold positions in assets discussed in this or other articles.
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