Upbit A south Korean Crypto Exchange company has been forced to up its security after series of cyberattack attempted on their crypto-network.
TheCryptoBasic posted on X (formerly Twitter) on October 9, 2023, indicating that:
“During the first half of 2023, leading South Korean crypto exchange Upbit witnessed more than 159,000 hacking incidents.” This has forced the South Korean government to fortify its cryptocurrency exchange platform with strong security.
Dunamu, the organization operating the cryptocurrency firm Upbit, unveiled the alarming statistics pertaining to these attacks. Subsequently, this data was conveyed to the People Power Party representative; Park Seong-Jung, and reported by the South Korean news agency ‘Yonhap’.
A closer examination of the data, reveals that the organization has witnessed a remarkable 117% year-over-year increase in hacking attempts in 2022. When compared to the first half of 2020, these hacking attempts have surged by an astounding 1800%.
In order to circumvent the threat actor’s relentless attempts, and improve security, the founder of Upbit, Dunamu disclosed that they have gone ahead to strengthen the proportion of funds which are stored in cold wallets to 70%.
The company also noted that hot wallets are inherently more susceptible to compromise, primarily due to the fact that their private keys are stored online, in contrast to cold wallets where the keys are maintained offline on external storage devices such as hard drives and USBs.
It should be noted that sometime in 2019, Upbit was the target of over $50-million financial hack, and ever since then the company has managed to retain its integrity and good security record.
A spokesperson from Dunamu stated that:
“After the hacking incident in 2019, we took various measures to prevent recurrence, such as distributing hot wallets, and operating them, and to date, not a single cyber breach has occurred.”
The Need for A STRONG SECURITY Posture on the Upbit Network:
The need for a strong security posture cannot be overemphasized. Given the numerous attempts, by threat actors aiming at the cryptocurrency networks, South Korean Representative Seong-Jung has called upon the South Korean government to expedite the implementation of heightened security measures to ensure robust security.”
He beckoned on the Ministry of Science and technology need to conduct a detailed security tests and assess information security conditions to secure the systems against cyberattack, and the virtual assets of the crypto-exchange.
In his opinion Seong-Jung described that:
“The Ministry of Science and Technology must conduct large-scale whitewashing mock tests and investigate information security conditions in preparation for cyber-attacks against virtual asset exchanges where hacking attempts are frequent.”
In September, several entities within the crypto ecosystem fell victim to a series of cyberattacks. For instance, CoinEX, a Hong Kong-based cryptocurrency firm, incurred losses exceeding $70 million due to the compromise of private keys, leading the organization to pledge compensation to its customers.
Also, Huobi Global were a victim of over $7.9 million dollars, based on the September 24th 2023 report.
The recurrent incidents and ongoing onslaught by threat actors underscore the imperative need for enhanced security measures within the decentralized web ecosystem to thwart the nefarious intentions of malicious actors.
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