Bitget hacker moves $83 million in stolen XRP beyond reach of freeze controls
Reported by CoinDesk · AI-assisted summary by ChikoCorp AI News Desk
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Summary
The hacker responsible for Bitget’s $387.5 million crypto breach has moved about $83 million in stolen XRP from three wallets, while approximately $75 million remains in accounts that cannot be frozen due to the XRP Ledger’s rules. Ripple cannot block transactions from these attacker-controlled wallets, but exchanges receiving the stolen XRP can restrict accounts. Bitget’s protection fund will cover customer losses, and withdrawals are planned to resume gradually starting September 28.
Why it matters
This development highlights limitations in the XRP Ledger’s freeze capabilities, as Ripple cannot prevent attackers from spending stolen XRP directly, affecting recovery efforts. The situation also demonstrates how exchanges and stablecoin issuers like Circle and Tether can intervene by freezing related assets, potentially limiting hacker activity.
Key context
Nearly 103 million XRP was stolen and split among five accounts, with over half already moved or distributed into multiple wallets. Circle and Tether froze about $320,000 in connected stablecoins, as those tokens include blacklisting controls unlike XRP itself. Bitget revised its estimated theft amount to $387.5 million after including additional Zcash and TRON amounts.
Key numbers and entities
Bitget is the hacked exchange with a $387.5 million theft estimate. The hacker moved $83 million in stolen XRP, with $75 million frozen in accounts that Ripple cannot restrict. Circle and Tether froze $320,000 in USDC and USDT stablecoins related to the breach. XRP traded at $1.54 during the reporting period.
What remains unclear
The exact fate of the stolen XRP after transfer is unknown, including whether or how much has been sold or moved off-chain. Specific details about the hacker’s identity, motivations, or further recovery actions are not provided. It is also not clear how exchanges will handle the XRP once it arrives in their custody.