Japanese Crypto
Exchange to Shut Down After $300M
Hack, Transfer Accounts
to SBI
Japanese Crypto Exchange to Shut Down After $300M Hack, Transfer Accounts to
SBI
Japanese crypto exchange DMM Bitcoin• Экономика » Финансы » Платежные средства » Платежные системы интернета » Криптовалюта » Bitcoin will transfer customer accounts and
assets to SBI VC Trade by March 2025 following a massive cyberattack.
By Liz Napolitano
Dec 3, 2024 Dec 3, 2024
2 min read
SBI Holdings Logo. Image: Shutterstock
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Japanese crypto exchange DMM Bitcoin• Экономика » Финансы » Платежные средства » Платежные системы интернета » Криптовалюта » Bitcoin plans to cease operations by March 2025,
transferring customer accounts and custodial assets to SBI VC Trade, the
crypto arm of financial giant SBI Holdings, according to a statement Monday.
The closure comes months after DMM Bitcoin• Экономика » Финансы » Платежные средства » Платежные системы интернета » Криптовалюта » Bitcoin disclosed a $305 million loss due
to a cyberattack that resulted in the theft of 4,502.9 Bitcoin (BTC• Экономика » Финансы » Платежные средства » Платежные системы интернета » Криптовалюта » Bitcoin).
The breach prompted the suspension of spot trading and withdrawal services,
significantly impairing the platform's operations.
DMM Bitcoin• Экономика » Финансы » Платежные средства » Платежные системы интернета » Криптовалюта » Bitcoin said it will announce further details regarding the transfer
process, including the exact migration timeline and steps for customers, "as
soon as they are determined."
Customers with leveraged trading positions must close those positions before
the transfer, as they will not be included in the migration, the company
added.
As part of the transition, SBI VC Trade will begin supporting spot trading for
14 cryptocurrencies• Экономика » Финансы » Платежные средства » Платежные системы интернета » Криптовалюта currently available on DMM Bitcoin• Экономика » Финансы » Платежные средства » Платежные системы интернета » Криптовалюта » Bitcoin.
The announcement underscores ongoing challenges in Japan’s cryptocurrency• Экономика » Финансы » Платежные средства » Платежные системы интернета » Криптовалюта
market, where security breaches have prompted regulatory scrutiny and
consolidation.
SBI VC Trade, which operates under the umbrella of one of Japan's largest
financial groups, is expected to absorb DMM Bitcoin• Экономика » Финансы » Платежные средства » Платежные системы интернета » Криптовалюта » Bitcoin's customer base and
assets, potentially strengthening its position in the domestic market.
DMM Bitcoin• Экономика » Финансы » Платежные средства » Платежные системы интернета » Криптовалюта » Bitcoin did not immediately respond to a request for comment.
The exchange's shutdown reflects the lasting impact of the May
cyberattack, which was one of the largest in the Japanese crypto industry this
year.
At the time, DMM Bitcoin• Экономика » Финансы » Платежные средства » Платежные системы интернета » Криптовалюта » Bitcoin halted all transactions and withdrawals to contain
further losses but has struggled to recover fully.
The migration marks a notable consolidation in the industry, with SBI VC Trade
poised to expand its footprint by inheriting DMM Bitcoin• Экономика » Финансы » Платежные средства » Платежные системы интернета » Криптовалюта » Bitcoin's customers and
infrastructure.
Edited by Sebastian Sinclair
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