$170M Bitget Hack Raises Concerns Over Centralized Crypto Custody
Bitget, a cryptocurrency exchange, is facing a reported security incident after blockchain researchers detected unusual transfers from wallets linked to the exchange. According to on-chain data, more than $170 million in digital assets may have been moved from Bitget's hot and cold wallets.
The transactions involved multiple cryptocurrencies, including Ethereum (ETH), Avalanche (AVAX), BNB, USDC, USDT, USDT0, and Tether Gold (XAUT). Researchers say that three Bitget hot wallets and at least one cold wallet may have been affected by the incident. One receiving address repeatedly collected assets from wallets labeled as belonging to the exchange.
The incident became notable on the Arbitrum network, where a newly created address allegedly used around $19.67 million in USDT0 to purchase 7,111 ETH within roughly six minutes. The transactions passed through UniswapX and 1inch Fusion, with some purchases occurring at prices significantly above the prevailing market price.
The scale of the reported outflows has raised concerns among Bitget users, particularly after reports of blocked or delayed withdrawals appeared online. However, social media reports should be treated cautiously until Bitget or independent blockchain security firms provide a definitive assessment of the incident and confirm whether customer funds were affected.