BitMart Offers Three Options to Address $319.5M Balance Shortfall
BitMart has announced a plan to address its financial issues and provide relief to users affected by the exchange's balance shortfall. The company estimates that nearly $319.5 million in digital assets were lost following the hack in December 2021, with the largest losses coming from Bitcoin ($51.5 million), Ethereum ($164.1 million), BNB ($96.5 million), and other assets ($7.4 million).
The exchange's balance shortfall was compounded by a series of factors, including declining revenues, losses from futures trading, and social media attacks by wash-trading groups that triggered panic withdrawals. BitMart also cited the risk of employees' personal data being leaked.
To address these issues, BitMart is offering users three options: an immediate payout based on available liquid assets, a restitution token linked to funds recovered from the 2021 hack, and a continuum token backed by the exchange's investments and future proceeds. The company plans to consult with its largest users and prepare a report detailing projected returns for each option.