KuCoin Co-Founder: We Have Recovered 84% Of The Stolen Funds From The September Exchange Hack
Crypto exchange, KuCoin, has now recovered approximately 84% of the stolen $281 million worth of crypto assets following a hack in September of this year. This means that the exchange has recovered about $236 million.
KuCoin's co-founder, who is also the exchange’s CEO, Johnny Lyu, revealed the news through a tweet. Lyu explained that the exchange carried out various activities to recover the stolen funds. He said:
“So far, 84% of the affected assets have been recovered via approaches like on-chain tracking, contract upgrade, and judicial recovery.”
Lyu also explained that the exchange could not reveal further details of the recovery process in accordance with the law enforcement requirements. He also intimated that details might be revealed once the case was closed.
As per the CEO, the exchange has so far reopened trading services for 176 tokens, and it is expected that all the others will be reopened on or before Nov. 22. Currently, KuCoin provides trading services for about 230 tokens.
KuCoin was hacked in September, where most of the lost funds were ERC-20 tokens, which were estimated to be worth $147 million. The exchange also lost Stellar tokens estimated at $87 million, while Bitcoin was estimated to be $30 million. The exchange explained that the heist was orchestrated through a leaked private key to gain access to its wallets.
However, the exchange was able to recover about $160 million days after the heist via protocol projects’ forking, limiting the hacker’s address and redeployment of the contracts.
Lyu’s announcement comes just days after the hacker conducted various transactions from his Ethereum address using ERC-20 tokens to another address, which now holds approximately the ERC-20 tokens estimated to be worth $13.6 million. The exchange has claimed that these tokens' swapping to different accounts makes them hard to recover but is working with law enforcement to track it.
However, the exchange has assured its clients that it has enough money in its bank accounts to cater to all the losses.