Bithumb Exchange’s Decimal Error Sparks Bitcoin Market Turmoil
Bithumb, South Korea's second-largest cryptocurrency exchange, accidentally distributed millions of dollars worth of bitcoin due to a decimal point error during a promotional event. The platform intended to disburse cash prizes of 20,000-50,000 won ($15-$38) but instead transmitted the equivalent Bitcoin amounts—sending some users upwards of 2,000 BTC ($196 million at current prices).
Screenshots of inflated balances spread across Korean crypto forums within minutes. Opportunistic traders immediately dumped the windfall BTC, creating a 10% price discrepancy versus other exchanges. 'This wasn't arbitrage—it was a fire sale,' remarked one Seoul-based OTC trader who requested anonymity.
The exchange froze affected accounts within hours, but not before cascading sell orders briefly dragged Bithumb's BTC/KRW pair to annual lows. Analysts note the incident exposes lingering vulnerabilities in exchange reward mechanisms—particularly during high-volume events.
