BtcTurk Freezes Withdrawals Amid $48M Crypto Heist—Market Jitters Spread

Crypto exchange BtcTurk slams the brakes on withdrawals after a $48 million hack sends shockwaves through the market. Here’s what we know—and why traders are sweating.

The Breach: Fast, Brutal, and Costly

Attackers bypassed security protocols, draining wallets in what insiders call a 'smash-and-grab' operation. No fluffy reassurances—just cold, hard blockchain evidence.

Damage Control Mode

BtcTurk’s team scrambles to plug the leak, freezing all withdrawals. Meanwhile, the usual suspects—regulators and Twitter sleuths—pile on with hindsight hot takes.

Crypto’s Recurring Nightmare

Another day, another exchange hack. Will this finally kill the 'not your keys, not your crypto' debate? (Spoiler: No—bankers still love charging for custody.)

The Aftermath: Panic or Opportunity?

Bitcoin dips—briefly—before the usual suspects declare it 'a buying moment.' Because nothing fuels crypto like a crisis—except maybe FOMO.

Key takeaways

BtcTurk has halted crypto withdrawals after a suspected hack drained over $48 million from its hot wallets. The attacker is actively laundering the stolen funds across multiple chains, mainly converting them to Ether.

Turkish crypto exchange BtcTurk has suspended withdrawals following a major security breach, with estimated losses exceeding $48 million.

The attacker started swapping the loot for ethereum [ETH] across multiple chains. For now, users are left watching their funds get rerouted, while BtcTurk scrambles to contain the damage.

A suspicious glitch turned major glitch

BtcTurk halted crypto withdrawals and deposits on the 14th of August after spotting unusual activity in its hot wallets. Initially described as a “technical issue,” the pause has since raised alarms.

Source: X

Cybersecurity firm Cyvers flagged suspicious transactions across Ethereum, Avalanche [AVAX], Arbitrum [ARB], Base [BASE], Optimism [OP], Mantle [MNT], and Polygon [MATIC] all pointing to a coordinated exploit.

The exchange assured users that its cold wallets (where most assets are stored) remain secure, but the incident further undermines confidence in BtcTurk’s hot wallet infrastructure.

This incident follows a similar $55 million security breach in 2024, raising ongoing concerns about the platform’s vulnerability.

Hacker on the move, exchange on high alert

The attacker didn’t waste time and quickly began moving funds across wallets and swapping them for ETH using MetaMask.

Lookonchain initially reported at least $23 million in stolen assets, while blockchain security firm CertiK estimated the losses to be closer to $50 million.

Source: EtherScan

BtcTurk has publicly confirmed a security breach, stating that its security teams have notified authorities and launched a full investigation.

Despite the incident, trading and fiat transactions remain operational, indicating that the breach was limited to the platform’s crypto hot wallets.

In an official statement, BtcTurk said:

“During inspections conducted on August 14, 2025, unusual activity was detected in our hot wallets. As a precaution, cryptocurrency deposits and withdrawals have been temporarily suspended.”

Meanwhile,hackers are actively laundering stolen assets across blockchain networks, intensifying the race to trace and freeze the funds before they disappear.

A pattern in the chaos

BtcTurk’s troubles are part of a broader trend in crypto: hot wallets remain a weak link. This is the second time in just over a year that the exchange has suffered a multi-million-dollar exploit.

It also comes at a time when other exchanges are tightening security as the threat landscape evolves.

While users are often reassured by the promise of cold wallet storage, repeated breaches chip away at trust.