Sygnum Shields Bitget Institutional Clients from Wallet Breach

Swiss bank Sygnum announced on September 24 that Bitget's institutional clients could trade against collateral held at the bank instead of placing it in Bitget's wallets. This move came after a wallet breach on Bitget, which resulted in an estimated $387.5 million in assets being transferred to attacker-controlled addresses.

The breach occurred on September 24 and was detected by Bitget's systems at 18:31 UTC. The affected funds were initially estimated to be around $351.6 million, but the amount was later revised after including Zcash and TRON transfers. Bitget said it identified and remediated the underlying vulnerability and contained the incident with the help of Mandiant and SlowMist.

The exchange's withdrawal notice stated that withdrawals were temporarily unavailable while deposits and trading remained operational. Sygnum's Protect service allows institutional clients to trade against collateral held at the bank, which is segregated from Bitget's wallets and protected in case of an exchange disruption.