BitMart has lost a bid to stymie a U.S. federal probe into its business practices, including its response to the 2021 theft of $200 million of customer tokens from the digital currency exchange.
"Bring down the banks" has become a mantra in some corners of the industry, but what few talk about is just how many security breaches really happen in the industry and how unsuitable the sector is to replace traditional banking.
While BitMart claimed the attackers withdrew $150 million in various tokens, the independent blockchain security and analytics firm PeckShield said the losses are closer to $200 million.
The filing says that following the July attack on BSV which saw malicious double spending of ‘fake’ BSV tokens, hackers were able to defraud at least 43 Bitmart customers.
The two companies formed a partnership in the hopes of increasing liquidity and scalability. The newly created partnership will allow users to make payments via Paxful on the BitMart platform.
