Bithumb In Trouble, Police Raids Exchange for Second Time In One Week

Juan

Member
It's because they violate some aggremeent afaik, and it's Bithumb Korea, not the global one. I use the global one and so far found no issues.

But as always, no exchange is trustworthy. Better to be safe than sorry.
 

Jair

Member
Some things to consider here :
1. The police is trying to protect the local investors
2. They might be involved with frauds

The things is if the government is going to allow cryptocurrencies to co-exist there will be some regulations on the way and it is to protect the general public. It was the fault of the exchange here for sure they did something wrong since it was not the first time.

Therefore I would recommend you :
1. Stop using this exchange even if you are involved with the global one.
2. Use exchanges like : coinbase ; Binance or you can even use your local exchanges.

Plus this is an important news and I do believe that the governing body is one ; be it South Korea be it someplace else therefore even a small mistake on the part of the company can cause problems for the investors
 

Stone

Member
It's because they violate some aggremeent afaik, and it's Bithumb Korea, not the global one. I use the global one and so far found no issues.

But as always, no exchange is trustworthy. Better to be safe than sorry.
South Korean government are fastly change their law regulations on crypto. It happens a few times as I know.

Agree with you that people have to be responsible for their capital, choose good exchanges but never store all capital on any account, any exchange. Should have a part of capital in non-custodial wallet like a saving
 

Cole

Member
Anyone using this exchange? I always thought Bithumb to be trustworthly. Which exchanges are safe according to you?

News article
For now, it doesn't sound that bad. It's a suspicion, they were not determined to be guilty. Moreover, it's about a token on their exchange, so it could be an honest mistake on their part with not doing their research. Or maybe it's indeed fraudulent activities, but the whole exchange cannot be blamed for them. Maybe some people were involved, and they will be convicted, but it's one of the biggest exchanges out there, and I don't think it's a bad exchange overall. Of course, you can never be too safe, so I would move money from Bithumb if I had any money there, but I don't think they'll pull an exit scam or something like that.
 

Calvin

Member
I was talking actually to someone that used to work for Bithump and he told me today there is absolutely nothing to worry about and Bithump is still open and operational. I know that last week's KOREA FUD seemed to help with BTC price tanking but I think the dump was just a coordinated effort by whales to take profits on the last couple of months altcoin rises. It's always the same, so Bithump was just an excuse to help the market crash to the point the whales wanted to coincide also with the CME futures
 

Kaiden

Member
So both raided were because Bithumb hosted a scam ICO and people who bought in are complaining that they lost money on it? I'm afraid I have little sympathy for exchanges which list vaporware to make themselves money, and I also have little sympathy for people who are still buying in to ICOs when it has been proven time and again that 99.9% of them are outright scams.

If an exchange hosting an ICO which turns out to be a scam is enough to bring charges against a CEO, then there are a lot of exchanges which need to quickly reexamine their business practices
Which exchanges are safe according to you?
None of them. I'm not aware of a single exchange operating today which hasn't either been hacked, scammed their customers, or sold their customers' data. The less you use centralized exchanges, the better.
 

Ivan

Member
It's because they violate some aggremeent afaik, and it's Bithumb Korea, not the global one. I use the global one and so far found no issues.

But as always, no exchange is trustworthy. Better to be safe than sorry.
Whether it is just Bithumb Korea, Bithumb is still Bithumb in a way that only one or a group of people owns it. If the fraud is confirmed there is a big possibility that it could be tied down to the global operations which I think will really happen especially when you consider that 25,000,000$ worth of crypto suddenly disappearing will always smell like there is a lot of moving parts for it to be done. Remember the WireCard scandal that has come out recently? Until now they are piecing together who are really connected mentioning companies from Singapore, Germany, and US.
 

Jesus

Member
I do not trust other exchanges as well especially if they are not that establish like coinbase and binance. Exchanges wallets are also custodial meaning they had control over your coins and may able to freeze it if they wanted to. They had the private keys of your exchange wallet and anytime could access into it. It is very intimidating if you hold btc in a exchange like what could be done possibly to your btc? Some will claim.your getting phished out because there were transfer being done but what it was an inside job that devs working on that exchange had made an interest of your btc?
 

Kingston

Member
I have never used Bithumb but I thought that they were one of the best crypto exchanges in the market. They are also number one crypto exchange in South Korea. I was shocked by news that they were raided 2 times by the police. I hope the investors who lost their money can restore them. I usually use Binance and I am happy about it. I like that they really care about the security of their investors.
 

Diego

Member
Anyone using this exchange? I always thought Bithumb to be trustworthly. Which exchanges are safe according to you?

News article
There is definitely something amiss with the activities of the exchange site because I don't expect the police authority to go on a fishing exercise without any back-up to their claims because they surely know the implications of such.

There would surely be a bigger reason as to why they are raiding the business other than safety and to be safe, except you are running your own security architecture, you will have to still trust the exchange site and be sure to not keep the excess of your funds there.
 

Ashton

Member
Anyone using this exchange? I always thought Bithumb to be trustworthly. Which exchanges are safe according to you?

News article
You need to understand why Korean police had raided Bithumb exchange. The report says that the main shareholder of this exchange committed a fraud during issuance of the BXA which is the native token of this exchange. They had raised around 25 million USD through the issuance of the token but did not list that in their platform at an agreed date. Now one of the owners was found transferring funds abroad illegally.

So if possible, transfer your business to any other reputed exchange like Binance because if Korean exchange is involved in such illegal things, there's no guarantee that their global counterpart is safe either. TO know the details of this matter, you can refer to the below article,


Hope this helps!
 
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