Nobitex resumes services after $90M hack, limiting access to verified users to restore trust and enhance security.
The Iranian crypto exchange is gradually resuming operations with restricted services following a significant $90 million breach. The exchange has implemented enhanced security measures, including restricted access to verified users, in response to the breach attributed to pro-Israel hackers Gonjeshke Darande.
Nobitex resumes operations with restricted access
An X post was shared by Nobitex, an Iranian crypto exchange, which experienced a catastrophic $90 million crypto breach earlier this month. The post outlined a phased recovery process. The cryptocurrency exchange ensured it is “working to resume withdrawal, deposit, and trading services for verified users with minimal delay.”
The update will restrict wallet access to users who have successfully concluded identity verification. Initially, only spot wallets are being unlocked; however, other wallet varieties will be accessible upon completion of identity verification. According to the platform,
This process is being carried out gradually, starting with verified users and initially for spot wallets, followed by other types of wallets…The identity verification process, which began two days ago, is a prerequisite for wallet access. Once the accuracy and security of all information is confirmed, Nobitex will begin displaying wallet balances in phases.
Nobitex crypto exchange was hacked by Israeli hackers, Gonjeshke Darande, culminating in a loss of over $90 million in crypto. The crypto breach was purportedly motivated by the hackers’ allegations that Nobitex was assisting the Iranian government in evading sanctions. The hackers reportedly incinerated the tokens shortly thereafter, as they were transferred to custom-generated “vanity addresses.”
The most recent development results from the exchange’s confirmation that withdrawal services will resume on June 30. In an X post on June 24, the platform confirmed its return, promising that trading and deposit functions would be implemented in a phased manner. However, no specific timeline was provided.
The implementation of a novel wallet system is currently underway
Nobitex is implementing a new wallet system as part of its post-hack recovery efforts, which is significant. The exchange cautioned users against depositing cryptocurrency into outdated purses, citing the potential for funds to be lost. It stated, “Previous addresses are no longer valid due to the wallet system migration, and any deposits made to them may result in a loss of funds.” Additionally, the organization stipulated,
If your old deposit address is connected to a mining rig or saved as a default withdrawal address in a blockchain service, make sure to delete it and replace it with your new personal address, or wait for the new address to be issued by Nobitex.
It is important to note that Nobitex is the dominant player in the Iranian crypto exchange market, with over $11 billion in processed inflows. Nevertheless, Chainalysis had associated it with illicit activities, such as ransomware organizations affiliated with Iran’s Islamic Revolutionary Guard Corps.