Singapore-based cryptocurrency exchange, Phemex has assured users that it will resume withdrawal of USDT and USDC today. The exchange made the disclosure on Friday via a post on its official X page.
More so, the announcement will further ease the growing attention surrounding reports that the exchange suffered a cyber attack yesterday. Recall that on Thursday, Phemex suspended withdrawal after detecting some strange issues relating to one of its hot wallets.
Leading blockchain analytical firm, Cyvers called the attention of the exchange to multiple suspicious movements of funds across various chains from its hot wallet. The firm estimated that about $37 million of different cryptocurrencies were stolen from the wallet, indicating that the attacker is converting the funds to ETH.
However, Phemex failed to disclose the situation of things but instead halted withdrawal on its platform to reduce the impact of the attack. Furthermore, the exchange explained how it intends to investigate the issue while promising users that the firm will work on a compensation plan.
Likewise, Phemex promised to conduct a thorough security inspection while enhancing its wallet services. The exchange went on to apologize for the inconvenience and promise to fulfill its pledge of providing a seamless and trusted trading platform.
$69 million missing? Phemex to Proceed with Withdrawal Resumption Plan
Similarly, the CEO of the exchange, Federico Variola confirmed plans to resume USDT and USDC withdrawal on the platform today. In the early hours of today, via a separate post on X, the CEO said the withdrawal would resume in 5 hours while other services like MemeX come up as well.
Against the initial promise, the withdrawal failed to kickstart as planned, forcing Federico Variola to issue another statement. He disclosed that the exchange’s security team is currently reviewing the withdrawal request manually, thus, causing the delay.
Additionally, the CEO hinted that the exchange took a snapshot of users’ balances to compensate them for their loyalty. Lastly, Variola stated that work is as well underway to ensure the resumption of BTC withdrawal.
Meanwhile, despite assuring users that their funds are safe, a top blockchain security firm, Peckshield recently disclosed that Phemex lost more than $69 million to the attack. As reported, the hackers stole the funds across multiple chains. Currently, Phemex is yet to respond to the claim.