Japanese cryptocurrency exchange DMM Bitcoin is preparing for liquidation following a $320 million loss in bitcoins due to a hack in May. This was reported by local media.
The platform is halting efforts to modernize operations and plans to transfer client assets to its operator SBI VC Trade, part of the SBI Group, by March 2025.
“In accordance with the agreement, clients’ deposit assets (in Japanese yen and cryptocurrencies) in accounts opened at DMM Bitcoin will be transferred to SBI VC Trade no later than March 2025,” the statement said.
The company will also handle the transfer of crypto assets stored on the exchange.
Launched in January 2018, DMM Bitcoin is owned by the Japanese e-commerce conglomerate DMM Group.
In November, its platform DMM Crypto announced the cessation of its Web3 protocol Seamoon, citing “changes in the business environment” that created challenges for the project’s sustainability.
Back in late May, hackers extracted 4502 BTC ($320 million at the time) following a server breach and private key compromise at DMM Bitcoin.
The company announced plans to purchase an equivalent amount of bitcoins with financial support from DMM Group to compensate user assets.
DMM’s losses were the second largest in Japan after the $530 million Coincheck hack in 2018.