TLDR
Upbit halted Solana (SOL) deposits and withdrawals after detecting unauthorized withdrawals from its Solana hot wallets, with losses around 54 billion KRW (~$3638.5 million), per a media report. Details
- The suspension covered SOL and multiple Solana ecosystem tokens after an abnormal outflow. Exchange response
- Upbit moved assets to cold storage and said users would be fully compensated. Executive statement
- An internal wallet flaw was later disclosed as a possible factor, though not confirmed as the cause. Follow?up
Deep Dive
1. Cause and Scale
Upbit reported an abnormal withdrawal from its Solana-connected hot wallets and paused deposits and withdrawals to stop further leakage. Reported losses were roughly 54 billion KRW (~$3638.5 million). The affected set included SOL and various Solana ecosystem tokens such as USDC, BONK, JUP, RAY, ORCA, PYTH and others. Incident report
The halt was a security response to a hot-wallet breach tied to Solana assets, not a Solana network failure.
2. Immediate Exchange Actions
Upbit said it immediately suspended Solana-related deposits and withdrawals, moved remaining assets to cold storage, and coordinated with projects to freeze part of the funds on-chain. The company also stated it would cover customer losses from its own reserves so user balances would not be impacted. Exchange response, Executive statement
Users faced temporary withdrawal and deposit delays for SOL and related tokens, but the platform committed to make customers whole.
3. Later Technical Finding
In a follow-up, Upbit disclosed a critical internal wallet software flaw (weak or predictable signing data) that might have exposed keys, though it did not confirm this was exploited in the theft. Deposit and withdrawal services remained suspended pending security verification. Follow?up
The pause could persist until Upbit completes wallet and infrastructure audits. For users, the practical step is to wait for the official restart notice before attempting SOL movements.
Conclusion
SOL was halted on Upbit due to a security breach involving unauthorized outflows from Solana-linked hot wallets. Upbits containment steps (service suspension, cold storage moves, on-chain freezes) and its pledge to compensate users aim to limit damage while it audits systems. Watch for Upbits customer notices restoring deposits and withdrawals after the security review concludes.
CoinsKid.Com