Bitget Hack Estimate Rises to $387.5M, Threatens Protection Fund
Bitget raised its estimate of the North Korea-linked hack to $387.5 million from an initial $352 million as accounting of stolen assets widened. At that level, the exchange's protection fund could be depleted to 76% of its stated floor, leaving roughly $112 million in reserves.
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Hack Estimate Climbs as Asset Accounting Expands
Bitget revised its breach damage estimate upward to $387.5 million from an earlier $352 million figure as the exchange completed a more detailed accounting of stolen assets. The Defiant reported that XRP and ether dominate the identified outflows. Bitget has since added Zcash and TRON to its loss tally, according to the same reporting.
Withdrawals remain paused across the platform as the exchange continues its recovery process and asset reconciliation.
Protection Fund Coverage at Risk
At the higher $387.5 million loss figure, covering the full theft from Bitget's $464 million protection fund would leave approximately $76.5 million remaining—well below the exchange's stated floor for the reserve, according to CryptoSlate's analysis. The shortfall represents a depletion of roughly 76% of the protection fund's current value.
Bitget has not yet disclosed a detailed breakdown of compensation plans or timeline for user recovery. The exchange's response continues to unfold as it works through the accounting of additional token types affected by the breach.
Why It Matters
For Traders
Ongoing withdrawal halts on Bitget will constrain liquidity for active traders and may redirect volume to competing platforms; monitor for reopening announcements.
For Investors
A protection fund depletion of this magnitude signals elevated counterparty risk on the platform and may influence custody and exchange-selection decisions for multi-month positions.
For Builders
Cross-chain bridge and DEX protocols with liquidity pools on Bitget should assess exposure to the exchange's native tokens and review contingency plans for liquidity fragmentation.
This article is for information only and is not financial advice. Read the full disclaimer.
