Crypto Exchange Nobitex Resumes Service After $90 Million Hack

Iranian crypto exchange Nobitex is slowly coming back online with limited services, after a massive $90 million hack. The hack, attributed to pro-Israel hackers Gonjeshke Darande, has prompted the exchange to implement enhanced security measures, including restricted access to verified users.

Nobitex Resumes Operations with Restricted Access

The Iranian crypto exchange, Nobitex, which suffered a devastating $90 million crypto hack earlier this month, shared an X post detailing a phased recovery process. The crypto exchange guaranteed, “We are working to resume withdrawal, deposit, and trading services for verified users with minimal delay.”

As per the update, wallet access will be restricted to users who have successfully completed identity verification. Initially, only spot wallets are being unlocked, while other wallet types will be accessible after completing identity verification. The platform stated,

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.

On June 18, CoinGape reported that the Nobitex crypto exchange was hacked by Israeli hackers, Gonjeshke Darande, resulting in a loss of more than $90 million in crypto. The hackers claimed that Nobitex’s alleged involvement in helping the Iranian government evade sanctions was the motive behind the crypto hack. Soon, the hackers reportedly burned the tokens by transferring them to custom-generated ‘vanity addresses.’

The latest development follows the exchange’s recent confirmation that withdrawal services will resume on June 30. In a June 24 X post, the platform assured its return, with trading and deposit functions to follow in a phased manner, though no exact timeline was given.

New Wallet System Underway

Significantly, Nobitex is implementing a new wallet system as part of its post-hack recovery efforts. The exchange warned users against depositing crypto into old wallets, citing potential loss of funds. It cited, “Due to the wallet system migration, previous addresses are no longer valid, and any deposits made to them may result in loss of funds.” The firm further added,

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.

Notably, Nobitex dominates Iran’s crypto exchange landscape with over $11 billion in processed inflows. However, Chainalysis had linked it to illicit activities, including ransomware groups tied to Iran’s Islamic Revolutionary Guard Corps.