[Upbit] Apology to Members

I am Oh Kyung-seok, CEO of Dunamu.

I deeply apologize for causing concern to our members due to the cyber breach.

This breach was the result of insufficient security management at Upbit, and there is no excuse.

Upbit, which places 'member protection' as its highest priority, promises that there will be no damage to members' assets.

Upbit has reported the cyber breach to the relevant authorities in accordance with applicable laws and is investigating the cause and scale of the incident.

On the morning of the 27th, immediately after detecting abnormal withdrawals from our Solana-series wallets, Upbit conducted a comprehensive inspection of the related network and wallet systems.

In this process, we discovered and addressed a security vulnerability that allowed the estimation of private keys (a kind of password that can access blockchain wallet addresses and assets) by analyzing many Upbit wallet transactions that are publicly available on the blockchain.

Going forward, Upbit will closely cooperate with relevant authorities and transparently inform members about matters that can be disclosed.

Upbit has suspended digital asset deposits and withdrawals to protect members' assets, and is tracking and freezing digital assets that have been moved outside of Upbit.

Upbit has identified approximately KRW 44.5 billion in affected assets. Member affected assets amount to approximately KRW 38.6 billion, of which about KRW 2.3 billion has been frozen. Company's affected assets are about KRW 5.9 billion. We reiterate that members' affected assets have been fully covered by assets held by Upbit.

Upbit is currently overhauling its wallet system and will resume digital asset deposits and withdrawals as soon as stability is confirmed.

Upbit has activated a company-wide emergency response system and is reviewing its overall security systems related to this breach.

Upbit has strived to protect members' assets, but has once again recognized that there is no perfect preparation for security.

We pledge to make company-wide efforts to further strengthen security as a result of this incident. We will do our utmost to establish measures to prevent recurrence, such as comprehensive security system upgrades.

Upbit will do its best to further strengthen its security framework and provide safer services.

We will promptly and transparently inform members of any additional findings.

Sincerely,

Oh Kyung-seok