Are there any CEXs immune to hacks?

[⭐ Raymond Blue]

It's worrisome to see that just after 2 months of rebranding and celebration of 10th year anniversary which saw Huobi transformed to HTX, the exchange has suffered a major hack. Of course the CEX name didn't settle well with users when the name was unveiled in September as many question the similarity between the new name and the defunct FTX and it's already looking as if users guesses were right afterall.

What is more worrisome is that just a few weeks back precisely Nov 10, poloniex exchange also suffered a hack with losses estimated at over $100 million in cryptocurrency. Putting this vis a vis with the HTX and Heco chain hack with an estimated loss of over $115 million, we are talking of a combined $215 million loss in users funds.

Despite the compensation plans announced by this CEX, I couldn't help but think why not implement the "prevention is better than cure" strategy. After the 2016 Bitfinex hack, I think exchanges should have learnt and implement more robust security measures but it's sad that 7 years later, we are still discussing security breaches in a sector that has the most glaring technology (Blockchain).

At this point am curious to know if there are exchanges immune to this hacks and are there any measures they put in place? I also think integrity test should be conducted for exchange owners but the question is how can this be achieved in an industry that is not being regulated. Share your views and let's discuss.

[maxicreed]

On 11/25/2023 at 5:26 PM, Raymond Blue said:

It's worrisome to see that just after 2 months of rebranding and celebration of 10th year anniversary which saw Huobi transformed to HTX, the exchange has suffered a major hack. Of course the CEX name didn't settle well with users when the name was unveiled in September as many question the similarity between the new name and the defunct FTX and it's already looking as if users guesses were right afterall.

What is more worrisome is that just a few weeks back precisely Nov 10, poloniex exchange also suffered a hack with losses estimated at over $100 million in cryptocurrency. Putting this vis a vis with the HTX and Heco chain hack with an estimated loss of over $115 million, we are talking of a combined $215 million loss in users funds.

Despite the compensation plans announced by this CEX, I couldn't help but think why not implement the "prevention is better than cure" strategy. After the 2016 Bitfinex hack, I think exchanges should have learnt and implement more robust security measures but it's sad that 7 years later, we are still discussing security breaches in a sector that has the most glaring technology (Blockchain).

At this point am curious to know if there are exchanges immune to this hacks and are there any measures they put in place? I also think integrity test should be conducted for exchange owners but the question is how can this be achieved in an industry that is not being regulated. Share your views and let's discuss.

100% immunity against security exploit in a technologically driven and fast evolving industry like cryptocurrency and blockchain is difficult. Although we have few that may have not recorded such incidence probably due to heavy investment in security but like I said earlier the crypto industry is still in the development stage and most service providers are learning. We should expect reduction as we progress besides, the records of stollen funds this year is far greater than the previous year.