Bithumb's Bitcoin Misdelivery Results in $2.5 Million Compensation
Severity: Low (Score: 36.0)
Sources: Koreatimes.Co.Kr, M.Alphabiz.Co.Kr
Published: · Updated:
Keywords: bithumb, million, bitcoin, misdelivery, compensation, paid, compensates
Summary
Bithumb compensated approximately 2.5 billion won ($2 million) for a Bitcoin misdelivery incident in February 2026, where an employee mistakenly credited 620,000 bitcoins instead of 620,000 won during a promotional event. This error affected 249 users and led to significant price distortions in the cryptocurrency market. The Financial Supervisory Service confirmed the compensation details on June 7, 2026. In a separate incident, Upbit compensated 790 million won due to a hacking event in November 2025. The five major exchanges in Korea reported a total of 57 hacking and system-related incidents from 2020 to April 2026, with Upbit having the highest number of cases. Compensation practices varied widely among exchanges, with Bithumb providing some users with fee waivers instead of cash. The need for consistent compensation measures and regulatory frameworks was highlighted by the differing classifications of incidents across exchanges. Key Points: • Bithumb mistakenly distributed 620,000 bitcoins, leading to a $2 million compensation payout. • The incident affected 249 users and caused significant market price distortions. • Upbit also faced a major hacking incident, resulting in 790 million won in compensation.
Detailed Analysis
**Impact** Approximately 249 Bithumb users were affected by a Bitcoin misdelivery error in February 2026, resulting in the erroneous transfer of 620,000 bitcoins instead of a promotional reward valued at 620,000 won. Bithumb compensated users with about 2.5 billion won ($1.6–2 million). Upbit experienced a separate hacking incident in November 2025 involving the theft of Solana-based tokens worth 44.5 billion won, with compensation totaling 790 million won. The five major South Korean exchanges reported 57 hacking and system-related incidents from 2020 to April 2026, impacting operational integrity and customer assets across the cryptocurrency sector. **Technical Details** The Bithumb incident was caused by a human error where an employee input Bitcoin units instead of Korean won during a promotional reward distribution, leading to a large-scale misdelivery. Upbit’s incident involved unauthorized transfers of Solana-based tokens to external wallets within 54 minutes, indicating a security breach. No specific malware, CVEs, or infrastructure details were provided. The incidents involved operational failures and external unauthorized access, affecting transaction and asset custody stages of the kill chain. No IOCs were disclosed. **Recommended Response** Exchanges should implement stricter input validation and multi-level approval processes for transaction operations to prevent human errors. Enhanced monitoring of wallet transfers and rapid anomaly detection systems are necessary to identify unauthorized asset movements. Consistent classification standards and compensation frameworks should be established to improve incident response transparency. Defenders should monitor for unusual transaction volumes and unauthorized wallet access, as no specific patches or IOCs were provided.
Source articles (2)
- Bithumb's bitcoin payout blunder results in $1.6 mil. compensation — Koreatimes.Co.Kr · 2026-06-07
Prices of cryptocurrencies are displayed on an electronic board at the Bithumb Lounge in Seoul, March 4. Yonhap Korea's major cryptocurrency exchanges have paid out billions of won in compensation for… - Bithumb Compensates $2.5 Million for Bitcoin Misdelivery Error - 알파경제 — M.Alphabiz.Co.Kr · 2026-06-07
[Alpha Biz= Ellie Kim] Bithumb has compensated approximately 2.5 billion won ( $2 million) following a Bitcoin misdelivery incident that occurred in February, while Upbit paid around 790 million won i…
Timeline
- 2025-11-27 — Upbit hacking incident: Upbit reported a security breach where Solana-based assets worth 44.5 billion won were transferred to unauthorized wallets.
- 2026-02-01 — Bithumb Bitcoin misdelivery incident: An employee mistakenly credited 620,000 bitcoins instead of 620,000 won during a promotional event, affecting 249 users.
- 2026-06-07 — Bithumb compensation announcement: Bithumb confirmed a compensation payout of 2.5 billion won for the Bitcoin misdelivery incident, as reported by the Financial Supervisory Service.
- 2026-06-07 — Total incidents reported: The five major exchanges reported a total of 57 hacking and system-related incidents from 2020 to April 2026, with varying compensation practices.
Related entities
- Data Breach (Attack Type)
- Bithumb (Company)
- Coinone (Company)
- Gopax (Company)
- Korbit (Company)
- Upbit (Company)
- Korea (Country)
- T1041 - Exfiltration Over C2 Channel (Mitre Attack)
- Solana (Platform)