Prabang Suspends Services After 100 Million Won in Crypto Assets Stolen

Prabang, a prominent South Korean cryptocurrency exchange, has temporarily halted its services following a security breach that led to an estimated loss of 100 million won, or roughly $74,957. The incident occurred on October 24, when abnormal withdrawals were detected from Prabang's hot wallet. Upon discovery, the exchange promptly activated its emergency response system and initiated a thorough examination of its systems.

During the investigation, Prabang identified a security vulnerability resulting from unauthorized external access. The exchange has reported the incident to the relevant authorities, including the Korea Internet & Security Agency (KISA), and is currently investigating the cause of the breach and the full extent of the losses. As part of their response to the breach, Prabang has pledged full compensation for affected customers using their own funds.

The company intends to conduct a precise assessment of the impacted assets and ensure full reimbursement using their own financial resources. The latest breach is distinct from another cybersecurity incident involving Prabang earlier in the month, although their connection has not been confirmed. Financial authorities had previously included Prabang and Streami, the operator of Gopax, in an inspection of cybersecurity incidents in the financial sector on October 14.

Cyberattacks targeting cryptocurrency exchanges have also affected major platforms, such as Bithumb, which announced a personal information leak involving its internal mobile groupware system on October 27. The exchange is currently investigating the scope of the exposure, including the potential impact on customer information. Industry observers are increasingly concerned that attacks are extending beyond trading systems to internal business networks, prompting calls for virtual asset service providers to review and enhance their information security systems.