OKX Exchange Loses Millions After User Accounts Hacked

OKX has seen outflows of upwards of hundreds of millions after amid major security concerns for the exchange.

OKX dropping low and hard to the ground. Man is scarred on its land.
Created by Kornelija Poderskytė from DailyCoin
  • OKX has experienced significant outflows. 
  • The exchange users suffered several hacks. 
  • OKX claimed they are investigating the incidents. 

Security remains a paramount concern for crypto users, and any indication of vulnerability can lead to panic. This appears to be currently happening to crypto exchange OKX, which recently suffered a security incident

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After two users of the exchange suffered a hack of their accounts, OKX saw outflows in hundreds of millions, highlighting just how concerned crypto users are with security. 

OKX Outflows and Security Concerns

On Monday, June 10, OKX experienced significant outflows of $204 million in the past 24 hours and $633 million over the past week, according to DeFi Llama. This follows reports of a coordinated hack that targeted two OKX users, bypassing the platform’s security measures.

Assets and net inflows of mayor centralized exchanges.
Source: DeFi Llama

While it is impossible to be sure about the causes of the OKX outflows, the trend seems to be specific to the exchange. For comparison, Binance saw $128 million and $1,364 billion in inflows, respectively, over the same period. Other major exchanges saw smaller changes in their positions in the last 24 hours, with Bybit seeing the largest outflows of $84 million.  

The outflows came just a day after OKX faced major security concerns. Notably, a pseudonymous founder of the blockchain security firm SlowMist reported a hack of two OKX users. The attackers bypassed their OKX account’s security measures, creating new API keys and withdrawing assets. 

OKX Responds to The Hacks

Following these reports, another user alleged that hackers stole $11 million from their OKX accounts, highlighting lax security practices at the exchange. The user also stated that they did not even receive notifications of withdrawals from their account. 

These incidents have prompted OKX to acknowledge the issues and stated that they are investigating the incidents. “We are diligently investigating reports that a malicious external actor orchestrated the potential compromise of specific user accounts,” an OKX spokesperson told DailyCoin.  

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In a separate social media post, the exchange also stated that they would be willing to accept responsibility for the losses if the investigation found their security standards lacking. 

On the Flipside

  • OKX was not the only exchange whose users suffered hacks. One Binance user from China reported losing one million after an account compromise. On June 3, Binance claimed that the exchange was not responsible for the hack, placing the blame on the user. 
  • In May, a hacking group called FSOCIETY claimed to have stolen $400,000 from various victims, including the crypto exchange BitFinex. 

Why This Matters

The latest OKX hacks highlight the urgent need for higher security standards for crypto exchanges. Hacks like these damage the reputation of both the individual exchanges, leading to crypto outflows, and in the industry in general. 

Read more about the OKX hacks: 
Coordinated OKX Hack Puts Users on High Alert: Here’s Why

Read more about Bitget’s push to expand in the growing Turkish crypto market: 
Turkish Athletes Endorse Crypto in Bitget’s Campaign

This article is for information purposes only and should not be considered trading or investment advice. Nothing herein shall be construed as financial, legal, or tax advice. Trading forex, cryptocurrencies, and CFDs pose a considerable risk of loss.

Author
David Marsanic

David Marsanic is a journalist for DailyCoin who covers the intersection of crypto, traditional finance, and government. He focuses on institutionalized crypto entities like major cryptocurrency exchanges and Solana, breaking down complex topics into easy-to-understand writing. David's prior experience as a business journalist at various crypto and traditional news sites has enabled him to maintain a critical approach to news while adhering to high journalistic integrity standards.