Bithumb confirms reward payout error after abnormal Bitcoin trades
The South Korean exchange said an internal error during a promotional event led to brief price dislocations, stressing that no customer assets were lost.
Bithumb said it identified and corrected an internal payout error after an “abnormal amount” of Bitcoin was credited to some user accounts during a promotional event, briefly causing sharp price fluctuations on the exchange.
In a company announcement on Friday, the South Korean crypto exchange said the price dislocation occurred after some recipients sold the mistakenly credited Bitcoin, but that it quickly restricted the affected accounts through internal controls, allowing market prices to stabilize within minutes and preventing any chain liquidations.
Bithumb said the incident was unrelated to any hacking or security breach and did not result in losses to customer assets, adding that trading, deposits and withdrawals are operating normally. The company said that customer funds remain safely managed and that it will transparently disclose follow-up actions to prevent similar errors.