Ethereum News Today: BTCTurk Halts Transactions After $48M Hot Wallet Hack

BTCTurk, a prominent Turkish cryptocurrency exchange, disclosed a significant security breach on June 22, 2024, resulting in a $48 million loss from its hot wallet system. The compromised assets included major cryptocurrencies such as Ethereum and Solana, with attackers swiftly executing multi-chain withdrawals to consolidate the stolen funds into two Ethereum wallets. According to blockchain monitoring firm Cyvers, the stolen assets were later converted into other tokens, a common tactic used to obscure the trail and evade detection [1].

The breach prompted the immediate suspension of all deposits and withdrawals on BTCTurk, a precautionary measure taken to secure remaining assets while investigations are ongoing. The exchange confirmed that the incident affected only the hot wallets—used to manage daily liquidity—while the majority of user funds remain safely stored in cold wallets offline [1]. BTCTurk CEO Özgür Güneri emphasized that the financial resilience of the exchange is not at risk and reiterated that customer assets are secure. “Our teams have detected that there was a cyber attack on our platform on June 22, 2024, which caused uncontrolled footage. Only some of the balances in the hot wallets of 10 cryptocurrencies were affected by the cyber attack in question, and our cold wallets, where most of the assets are kept, are safe,” he stated [1].

The attack bears similarities to historical breaches at other major exchanges, reinforcing concerns over the vulnerability of hot wallets in centralized platforms. While the exchange has not disclosed the exact nature of the security failure, the rapid and coordinated movement of funds across multiple blockchains suggests an advanced level of sophistication. Authorities have been notified, and cybersecurity firms are assisting in the forensic investigation [1].

Market reactions followed swiftly, with heightened volatility observed in major cryptocurrencies like Bitcoin and Ethereum. The breach has sparked renewed scrutiny over hot wallet security practices and the broader operational risks associated with multi-chain exchanges [1]. Analysts have pointed to the growing trend of attackers exploiting the speed and complexity of cross-chain transactions to evade detection, a challenge that has yet to be fully addressed by the industry.

The financial impact of the hack remains uncertain, though BTCTurk has maintained that its operations and liquidity remain stable. If confirmed, the $48 million loss would place this incident among the most significant exchange hacks of 2025, underscoring the persistent risks associated with centralized custody models [1]. Recovery efforts are expected to focus on blockchain tracing and tracking the movement of stolen assets, though historical precedents suggest such efforts often yield limited results, especially when attackers employ sophisticated evasion strategies [1].

Source: [1] BtcTurk Suspends Withdrawals After $48M Hack (https://www.bitcoinsensus.com/news/business/btcturk-suspends-withdrawals-after-48m-hack)

[2] Hacker hits BTCTurk exchange for $48M in hot wallet exploit (https://www.mitrade.com/insights/news/live-news/article-3-1040140-20250814)