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Kyrgyz crypto exchange Four Dragons reportedly suffers $100m hack

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Kyrgyz crypto exchange Four Dragons reportedly suffers $100m hack

  crypto.news 24 m

Kyrgyz crypto exchange Four Dragons reportedly suffers $100m hack

Crypto exchange Four Dragons says it had suffered a breach of its security system, resulting in ‘significant funds being withdrawn.’

Kyrgyzstan-based crypto exchange Four Dragons revealed on its website that it fell victim to a hacker attack on Feb. 22, leading to the loss of an undisclosed amount of crypto, reportedly estimated to be worth around $100 million.

While the Bishkek-headquartered crypto exchange did not specify the stolen amount, it acknowledged that the figure is “significant,” reassuring customers that operational activities “continue as normal, despite the loss of some liquidity.” It is unclear how exactly the hackers gained access allegedly to the exchange’s hot wallets.

Kyrgyz crypto exchange Four Dragons reportedly suffers $100m hack

Four Dragons’ hack announcement | Source: Four Dragons You might also like: Kyrgyzstan: central bank publishes draft crypto laws, calls for public comments

Despite the hack, Four Dragons claims the incident “will not affect our obligations to clients and partners.” The exchange also disclosed 16 Bitcoin addresses to which the stolen funds were transferred. As of press time, a considerable portion of the stolen crypto remains in the identified addresses.

“We are taking maximum measures to ensure these funds cannot be used. We ask everyone concerned to take this information into account.” Four Dragons

The exchange added it also offers a reward of 10% of the returned amount “to anyone who helps in the recovery of the stolen funds,” adding that the team is “ready to provide additional information and guarantee anonymity.”

Kyrgyzstan’s regulatory landscape concerning cryptocurrencies is still evolving. While the country has taken initial steps to regulate virtual assets, there remains considerable uncertainty and ambiguity regarding the implementation of specific regulations. Moreover, Kyrgyzstan lacks specific guidelines for crypto exchanges, as the legislation passed in 2022 primarily addresses virtual assets’ parameters but does not directly regulate exchanges.


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