Crypto exchange BitMart promised users it would cover the losses from its 2021 hack with its own money and that "no user assets will be harmed."
- Nearly five years later, the exchange says that attack left a roughly $319.5 million hole in its reserves that remained on its balance sheet as its business eventually ran into trouble.
- BitMart stopped normal trading operations in July and is now working with Alvarez & Marsal and White & Case on a court-backed recovery plan for users.
The number has more than doubled
When BitMart disclosed the breach on Dec. 4, 2021, it said hackers had compromised an Ethereum hot wallet and a Binance Chain hot wallet and withdrawn about $150 million.
Two days later, the exchange said it would "use our own funding to cover the incident and compensate affected users," adding that "no user assets will be harmed." But its latest public statement looks very different.
In a restructuring update published on Wednesday, Sept. 30, BitMart said the hack depleted about $319.5 million from its crypto reserves, using values from the day of the attack, and "caused a balance sheet deficit."
The exchange said strong profits during the crypto bull market allowed it to keep operating for years despite that shortfall. But in 2026, falling revenue and losses from traders exploiting rebate and zero-slippage programs helped push the business into the red, according to the update.
The breakdown also includes about $51.5 million attributed to Bitcoin, alongside roughly $164 million in Ethereum, $96.5 million in BNB and $7.4 million in other assets.
Its original 2021 announcement described the breach as affecting only its Ethereum and Binance Chain hot wallets.
Users are now being offered a recovery plan
BitMart is now proposing several options for customers who still have balances on the exchange, including an upfront distribution of available assets or new tokens tied to future asset recoveries and other BitMart holdings.
The company hasn't yet disclosed the recovery percentage users could receive under each option. It says those estimates will be published as the plan is developed.
- The Coinformer reached out to BitMart for comments.