Indonesia’s largest cryptocurrency exchange, Indodax, has been hit by a major security breach, resulting in a loss of $18.2 million. The exchange has temporarily halted operations to address the situation, ensuring users that their funds remain secure during this period.
The incident was first brought to light on September 11 when Cyvers Alerts reported suspicious activity involving Indodax wallets. The alert, shared on X (formerly Twitter), highlighted multiple suspicious transactions across different networks. According to Cyvers, an address linked to the incident held $14.4 million in tokens, which were being swapped for Ether (ETH).
PeckShield Confirms Significant Outflows
Blockchain security firm PeckShield also detected large outflows from Indodax. Their analysis revealed that around $15.7 million worth of cryptocurrency was drained from the exchange. Specifically, 5,204 ETH was found on an Ethereum address, along with 6.8 million POL on the Polygon network and 380 ETH on Optimism.
Cyvers Alerts provided further details, noting that over 150 suspicious transactions were detected, contributing to the total loss of $18.2 million. They urged the exchange to act swiftly to limit the damage caused by the exploit.
Indodax Responds, Ensures User Funds Are Safe
Indodax responded to the reports by confirming they were conducting full maintenance of their platform to fix any security vulnerabilities. In a translated post on X, they reassured users that both their crypto and rupiah balances remained safe.
The exchange expressed gratitude to its users for their patience, emphasising that the maintenance is crucial to ensuring the platform’s safety and reliability. Further updates will be shared once the investigation concludes.
Indodax’s Background and Growth
Indodax, initially launched as Bitcoin Indonesia in 2014, was co-founded by Oscar Darmawan and William Sutanto. It rebranded to Indodax (Indonesia Digital Asset Exchange) in 2018 to reflect its broader focus on digital assets. Today, the exchange is Indonesia’s largest exchange, with over 160 supported cryptocurrencies and millions of users across Southeast Asia. According to CoinGecko, its 24-hour trading volume stands at $11.4 million, with a trust score of 8/10.
