DMM Bitcoin liquidates and ceases its operations. It plans to transfer all accounts and assets to SBI Group.
Japan-based DMM Bitcoin exchange experienced a $320 million fraud in May, 2024.
A prominent crypto exchange platform in Japan, DMM Bitcoin is liquidating its assets through SBI Group. The exchange will completely cease its operations after the liquidation. The liquidation is caused by a $320 million fraud which occurred in May, 2024 and affected over 450,000 accounts of DMM Bitcoin.
As per the official announcement from SBI VC Trade, the crypto arm of Japanese financial organization SBI Group, DMM Bitcoin is scheduled to transfer all its accounts and assets to SBI Group in March 2025.
Apart from the asset transfer, SBI VC Trade also plans to handle 14 crypto spot trading items that weren’t previously handled by SBI but are handled by the DMM Bitcoin before the transfer. The specific transfer date and transfer method will be disclosed once they have been determined by the companies.
DMM Bitcoin Lost $320 Million in Hack
DMM Bitcoin exchange was compromised on May 30 due to server breach and private key hack. The company reported that a single wallet containing more than 4,500 BTC was hacked in an unauthorized leak.
Following the hack, the exchange halted spot trading temporarily and conducted an investigation. The hacker transferred the stolen Bitcoin to 10 different wallets, as per Lookonchain update.
The DMM Bitcoin exchange hack was found to be the seventh largest crypto hack ever. While the Japan’s Financial Services Agency instructed DMM Bitcoin to do a detailed investigation, the exchange firm finally decided to cease its operations after the liquidation.
Even though hacks and frauds are not new to the crypto industry, the fact that crypto firms are not being proactive to take precautions for eliminating them is condemnable. The $320 million hack of DMM Bitcoin has now led to its liquidation and shut down of operations.
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