DragonEx Hack: USD 7 million in Crypto Stolen, Compensations in Sight

Exchange Hack

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Linas Kmieliauskas

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Linas Kmieliauskas

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June 26, 2023 06:53 EDT

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Singapore-based DragonEx, one of the top 50 cryptocurrency exchanges by trading volume, estimated that the value of the funds stolen in the hack on March 24 is around USD 7 million. Also, the company said it is working on “a preliminary Compensation plan.”

“After tracking and investigation, DragonEx found that part of funds has flown into other exchanges. DragonEx has been working on retrieving back more assets and communicating with the leaders of those exchanges for more support,” the exchange said in an update on their Telegram channel.

It also added that the company is “negotiating a preliminary Compensation plan” and that the stolen assets will be converted into USDT credit or Dragon Token (DT), the native token of the exchange, depending on preferences of the exchange’s users, according to Joanne Long, Chief Information Officer at the exchange. Every day, 100% of the trading fees earned by DragonEx are distributed to users according to how much DT they hold, according to the website of the exchange.

“DT still enjoys the dividends each day,” Long said.

The company has also denied that it went bankrupt.

“DragonEx will take this lesson, upgrade the security level of the platform, cooperate with the third-party agency to do security supervision and audit, spare no effort to resume services after the Compensation Plan and Security Text are approved,” it said without specifying.

Earlier this week, the company said that the stolen assets from DragonEx were transferred to these addresses, which includes 20 digital assets, including bitcoin, ether, XRP, NEO, litecoin and others.