Bithumb Exchange Recovers $134M in BTC After Major Payout Error, Highlights Operational Resilience
South Korean cryptocurrency exchange Bithumb has resolved a significant operational error that resulted in accidental overpayments of BTC during a promotional event. The incident involved 695 users mistakenly receiving 2,000 BTC (approximately $134 million) instead of the intended 2,000 KRW (about $1.34), which triggered a 10% flash crash on the platform.
Within 35 minutes of the erroneous transactions, Bithumb froze withdrawals and initiated recovery procedures. The exchange has successfully reclaimed 99.7% of the overpaid BTC, with 93% of the sold assets recovered in KRW and other digital assets. Any remaining losses will be covered by the company's reserves.
This event underscores the critical need for technical precision in crypto exchange operations. Bithumb has committed to implementing system upgrades to prevent future occurrences, demonstrating how operational glitches can swiftly impact market volatility within digital asset platforms.
