Upbit, a major South Korean cryptocurrency exchange, reported a security breach involving Solana network assets, prompting regulatory investigation and service suspension, as communicated by CEO Oh Kyoung-suk on November 27, 2025.
This incident highlights cybersecurity challenges in the cryptocurrency sector and testing trust in exchange platforms, as Upbit commits to covering losses, maintaining market confidence amidst regulatory scrutiny.
Upbit Faces Significant Solana Network Hack
Upbit confirmed a breach linked to the Solana network, impacting 24 digital assets. CEO Oh Kyoung-suk highlighted immediate efforts to safeguard member assets through halting deposits and withdrawals. Authorities launched inspections, focusing on uncovering the background and scope of this hacking attempt. With asset losses now recalculated to approximately 44.5 billion KRW, the Financial Supervisory Service (FSS) oversight continues until December 5. The response includes rigorous on-site evaluations of Upbit's security measures.
The Solana market, maintaining a value of $142.73, saw minimal fluctuation despite the breach. Its market cap of $79.84 billion displays some stability, although trading volume fell by 32.61% over 24 hours. Price movements remain relatively minor, indicating potential resilience amid heightened scrutiny.
Oh Kyoung-suk, CEO, Dunamu/Upbit, said: "Immediately after detecting the abnormal withdrawal activity, we prioritized protecting member assets by halting deposit and withdrawal services and initiating a comprehensive inspection. We plan to fully cover any potential losses using Upbit’s own assets to ensure no harm comes to customer funds."
Regulatory Scrutiny Intensifies Amidst Market Stability
Insights suggest this event may prompt stricter regulatory frameworks and influence security practices across platforms. Reinforced by historical exchange breaches, the emphasis is on technological fortification and regulatory compliance to mitigate similar risks in the future.
Authorities launched inspections, focusing on uncovering the background and scope of this hacking attempt.