Hacked Crypto Exchange BITpoint to Refund 50,000 Users Who Lost Funds

Cryptocurrency exchange BITpoint Japan has said that it will reimburse in cryptocurrency the roughly 50,000 affected users who lost funds in the recent hack.

The firm told Tokyo reporters on Tuesday that users will get refunds of crypto on 1:1 basis, according to a report published by The Asahi Shimbun on July 17.

According to the report, the estimated losses from the security breach now amount to roughly 3.02 billion yen ($28 million)—around $4.6 million less than initially thought.

The flock of exchange clients purportedly lost 2.06 billion yen ($20 million) in the breach, with the company saying that it has now readied that amount in crypto assets for the refund. The reimbursement will happen once the platform has brought back its services, which were put on hold since the hack.

BITpoint president Genki Oda apologized for the unfortunate event and said that the exchange is looking at possible causes of the breach.

In a post published on July 16, the firm verified that the crypto assets stolen in the July 12 hack included 1,225 bitcoin, 11,169 ether, 1,985 bitcoin cash, and 5,108 litecoin.

The company might lose out in refunding users in crypto rather than cash due to recent price drops. Kimio Mikazuki, director of BITpoint, refused to comment “as it includes legal matters,” the report said.