The KuCoin hack is the first major case of a decentralized exchange being used to launder funds. It’s estimated that up to $281 million in assets were stolen. But some analysts fear that more tokens were compromised.
After the attack, KuCoin paused deposits and withdrawals, which are now opening back up. Mr. Lyu said the crypto exchange is slowly beginning to return to “full functionality.”
Some of the services KuCoin provides are not affected by the hack including spot trading, margin trading, futures trading, P2P Fiat trading, red envelope function, Pool-X staking, Pool-X liquidity trading platform, Kratos voting and governance function, and the Instant Exchange function. All KuCoin activities will proceed as planned, and any earned rewards and prizes will be released to users, as normal.
Currently, KuCoin supports deposits and withdrawals for 31 tokens. Bitcoin (BTC), Ethereum (ETH), and the US dollar-pegged stable coin, and Tether are still not among those open but should be soon.
KuCoin reassured its users that they are perfectly protected by its insurance from asset losses while the project itself avoided a disastrous secondary market tumble.
The Safeguard Program
KuCoin is launching a new initiative called the “Safeguard Program“ to provide comprehensive protection and support for individuals and institutions who are affected by “security incidents” on the exchange. The program includes but is not limited to assistance with technical support, evidence retention, and asset confirmation.
