Blocking Hacker Wallets

Cryptocurrency Exchange Bitget Requests THORChain Block Associated Hacker Wallets

After hackers stole about $387.5 million from crypto exchange Bitget on Sept. 24, they used THORChain to swap assets across blockchains and convert some into Bitcoin, which is harder for a centralized service to freeze. Public transaction records show about 2,390 ETH, worth roughly $6.3 million, was exchanged for 75.2 BTC in 27 successful swaps on Monday, with additional swaps pending. Bitget asked THORChain to block addresses linked to the attack, but the protocol refused, saying its permissionless design and emergency halt tools do not allow it to blacklist individual users. Critics argue THORChain’s validators have mechanisms to pause network activity, while supporters say validators do not approve individual transfers; the dispute highlights tensions between decentralization and efforts to stop stolen funds. Bitget says it is restoring withdrawals in phases, beginning with Bitcoin, and has announced a protection fund for customers.

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