Bitget Hack Tests Crypto Trust, Not Bitcoin's Long-Term Thesis

The $387 million hack on Bitget has sent shockwaves through the crypto market, but surprisingly, it has not had a significant impact on Bitcoin's long-term thesis.

The breach occurred on September 24 and affected about 0.02% of Bitcoin's market capitalization, which is roughly $1.67 trillion. The stolen amount is enormous for Bitget, however, making up around 7% of the exchange's reserves.

The attackers exploited a vulnerability in a third-party security product to obtain internal credentials and submit fraudulent withdrawal commands that bypassed risk checks.

Bitget suspended withdrawals but began reopening them in phases from September 28. The investigation and recovery process remain ongoing.