XT Exchange, a global cryptocurrency trading platform has confirmed a security breach involving unauthorized access to its platform, leading to a loss of approximately $1.66 million across multiple blockchains, including Ethereum ($ETH), Binance Smart Chain ($BNB), and Optimism ($OP).
The breach as per XT Exchange post on social media, was detected by their AI-powered monitoring systems, revealing that funds were being transferred to external wallets and swiftly swapped and bridged to the Ethereum network. The withdrawals have been suspended for now.
In the statement, XT acknowledge the abnormal activity and assured users that their funds remain secure. “This incident will not impact our users” the company emphasized, highlighting its commitment to safeguarding assets. XT maintains reserves 1.5 times greater than the user asset, ensuring sufficient coverage and protection in such events.
XT Exchange’s Ongoing Investigation and Future Measures
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The XT Exchange Team is actively investigating the breach and working to eliminate further risks. As part of its commitment to transparency and security, XT Exchange announced the upcoming launch of its Merkel Tree Asset Proof System in mid-December. This new system aims to enhance user trust by providing greater visibility into the platform’s asset reserves and overall financial health.
User Trust and Ongoing Security Enhancements
Despite the breach, XT expressed gratitude to its users for their continued support. The exchange’s proactive response and robust reserve policy indicates its dedication to maintaining user confidence and integrity of the platform.
As the investigation continues, XT has reaffirmed its commitment to strengthening security protocols, ensuring that incidents like this do not reoccur. Users are encouraged to monitor official updates as XT implements additional measures to enhance protection and transparency.
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