Mercado Bitcoin says phased reopening to begin Monday, will cover losses
Customers will initially be able to view their holdings, while withdrawals and trading remain suspended pending security checks.
Brazilian crypto exchange Mercado Bitcoin announced plans to begin a phased reopening on Monday, aimed at restoring customer access and addressing losses from a recent hack. The exchange disclosed that the security breach resulted in the theft of over $46 million in assets, with blockchain analysts providing an estimate of the extent of the loss.
In a statement to Cointelegraph, Mercado Bitcoin revealed that initial customer account access would be restored through its website, allowing users to view balances, statements, holdings, and investments. However, transfers, withdrawals, and trading activities will only resume in subsequent phases, contingent upon independent security testing.
The exchange further pledged to utilize company funds to replenish the stolen assets, with more than $15 million in stolen funds already frozen with the assistance of the crypto industry. Mercado Bitcoin's trading desk is reportedly preparing to initiate the necessary repurchases in both domestic and international markets to recover from the breach.
Following the announcement of the security incident, Mercado Bitcoin disclosed the transfer of funds from the company's hot wallets and customer deposit addresses by the attackers. Despite this, the exchange expressed confidence in its liquidity, citing a strong cash position that was bolstered by a $20 million investment from stablecoin issuer Tether. This investment aims to support the exchange's operational expansion and recovery efforts following the hack.
Written by urgent.news from Cointelegraph's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
