HTX Exchange Sees $258 Million Outflow Post-Hack
- HTX experiences outflow post-hack.
- The outflow occurred between November 25 and December 10.
- HTX clients are disquieted after the November security incident.
Following a significant security breach in November, the HTX exchange, previously known as Huobi and associated with Justin Sun, has witnessed a substantial $258 million net outflow since reopening.
Data from DefiLlama shows that this outflow occurred between November 25 and December 10, causing concern among clients who were unsettled by the security incident.
Although HTX lost $30 million worth of crypto tokens during the breach and pledged full compensation for hot wallet losses, the community remains wary as the exchange navigates the aftermath of the hack.
Justin Sun’s Ties and Allegations
Justin Sun, linked to HTX, has connections to Poloniex and Heco Bridge, both of which suffered hacks in November. Suspicions of an exit scam within the cryptocurrency community are heightened as a result of these security breaches.
Additionally, the TRX token at HTX, launched by Sun, is facing fraud allegations, and Sun and his firms have been accused of market manipulation by the Securities and Exchange Commission (SEC).
Concerns and Vigilance in the Digital Asset Community
With an average daily trading volume of $1.6 billion, HTX’s reserves dominated by Bitcoin and TRX raise questions about the security and integrity of the platform. Despite efforts to recover stolen funds, the cryptocurrency community remains watchful as HTX continues to deal with the aftermath of the hacks.
The need for robust security measures and transparency in the digital asset landscape has been emphasized as developments unfold, with security firm BlockSec reporting that hackers still control the $30 million taken in the recent breach.
