Bitrue’s Hot Wallet Exploited, Causing QNT To Dump Over 10%

Key Points:

• Bitrue exchange discovered a hot wallet breach.
• The event caused the price of QNT to drop by more than 10%.
• Some speculated that the hack had nothing to do with QNT’s price drop.

This morning, Bitrue, a Singapore-based cryptocurrency trading platform, discovered a minor vulnerability in one of the hot wallets. The price of Quant token (QNT) dropped dramatically as a result of this revelation.

The QNT price fell sharply from $128 to $113, over 10%. The price is presently rebounding to $122 but is still down 2% today. According to speculations, the leak was the result of a Bitrue hack. This narrative will undoubtedly continue.

The Bitrue team has banned all withdrawals until April 18 in order to complete security checks and appropriately fix the issue.

As a result, the team took charge of the problem and is presently researching it. According to the exchange, the attackers were able to remove assets worth around $23 million in the following currencies: ETH, QNT, GALA, SHIB, HOT, and MATIC.

The compromised hot wallet has less than 5% of Bitrue’s total cash. The remaining hot wallets are still safe and have not been hacked. Lastly, the notification said that all recognized users who have been impacted by this event would be fully reimbursed.

The fact that this decline occurred at a time when Bitcoin (BTC) was climbing past the $30,000 barrier prompted the community to wonder whether there had been a hack, given that the majority of altcoins had been surging with the support of BTC.

Crypto influencer CryptoNagato tweeted about the QNT price drop, claiming that thousands of QNT tokens were sold within a few hours from a single wallet, causing the price to decrease. He further said that the wallet from which thousands of QNT were sold still retained 28,000 tokens.

This is the second time the exchange has witnessed an incident related to a security hole. Earlier in September 2021, the platform announced a breach resulting in the loss of $4.2 million in user assets. Users’ funds are insured, and anyone who lost cryptocurrency will be refunded, according to the exchange.

DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.

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Harold

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