DMM Bitcoin, a popular Japanese cryptocurrency exchange, has announced its plans to compensate victims of a recent hack that resulted in the theft of approximately 4,503 BTC, equivalent to $318.61 million. In a recent announcement, the company revealed its intention to raise 55 billion Japanese yen, amounting to $352.3 million, to reimburse customers affected by the security breach. The funds will be sourced through loans and capital increases from affiliated companies.
To achieve this goal, DMM Bitcoin outlined its strategy for raising the necessary funds. On June 3, the exchange borrowed 5 billion yen, with an additional 48 billion yen to be secured through a capital increase on June 7. Subsequently, another 2 billion yen will be raised on June 10 through subordinated loans.
The raised funds will be used to repurchase the stolen 4,503 BTC and compensate affected customers, with the remaining amount allocated towards facilitating withdrawals. The hack, which occurred on May 31 at 1:30 PM local time, prompted DMM Bitcoin to temporarily halt spot purchases and delay yen withdrawals.
Despite ongoing investigations into the hack’s cause, DMM Bitcoin has assured customers of full compensation through the funds raised from its group companies. Additionally, leading blockchain security firm Blocksec has provided insights into the movement of the stolen funds, revealing a series of transactions to various external wallets.
It is essential to note that this content serves as informational and not financial advice. Any investment decisions should be thoroughly researched, as the opinions expressed are solely those of the author and do not reflect the views of The Crypto Basic. The readers are advised to exercise caution to avoid financial losses.