- Stablecoin issuer Tether blacklisted multiple addresses holding over $29 million in USDT linked to recent exploits targeting crypto exchange Bitget.
- The freeze comes shortly after on-chain investigators flagged suspicious outflows and unauthorized asset movements originating from affected user accounts.
- Bitget management assured users that the platform’s core funds remain secure and that affected individuals will be fully compensated following the security incident.
Stablecoin giant Tether has moved swiftly to contain the fallout from a security breach affecting cryptocurrency exchange Bitget, blacklisting addresses holding more than $29 million in USDT. The coordinated action was highlighted by on-chain security firm PeckShield, which detected the sudden freezing of funds associated with the perpetrator’s wallet addresses.
The intervention follows a series of unauthorized withdrawals that drained user funds from the platform. According to reports from The Block, the stablecoin issuer placed the suspicious addresses on its designated blacklist shortly after receiving intelligence regarding the exploit, effectively blocking the hacker from moving or liquidating the stolen digital assets.
Bitget executives moved quickly to reassure the broader trading community, issuing statements confirming that the exchange’s operational reserves and institutional funds were not compromised in the attack. Representatives stated that the vulnerability was localized and that the platform is actively cooperating with blockchain forensics teams and law enforcement agencies to trace the remaining stolen funds across various decentralized protocols and bridging networks.
In response to community concerns regarding user restitution, Bitget pledged to implement a full reimbursement plan for all retail traders and investors impacted by the security breach. Industry analysts note that centralized exchanges and stablecoin issuers are increasingly utilizing rapid-freeze mechanisms to mitigate damages during exploits, significantly reducing the profitability of large-scale crypto thefts.
