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Scrape Timestamp (UTC): 2025-11-28 00:44:56.490

Source: https://www.theregister.com/2025/11/28/naver_upbit_crypto_heist/

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Korean web giant Naver acquired crypto exchange Upbit, which reported a $30m heist a day later. Talk about buyer’s remorse. South Korean web giant Naver has had an interesting week, after it acquired a cryptocurrency exchange that the next day revealed it had suffered a serious cyberattack. The fun started on Wednesday when Naver – which fills online niches served by Google, Yahoo and WhatsApp in other countries – announcing its acquisition of Dunamu Corp, operator of a cryptocurrency exchange called Upbit. Naver said acquiring Upbit would help to grow its financial services business, making the $10.27 billion stock swap deal a sound investment. That argument became rather harder to sustain on Thursday, because at 05:27 local time Upbit advised it had suspended withdrawals and deposits to wallets storing the Solana cryptocurrency to allow for maintenance of its wallet system. At 08:55 the outfit changed the language it used to describe the situation to a mention of “emergency maintenance.” By 12:33 Upbit admitted maintenance was needed due to an “abnormal withdrawal situation” because somebody made off with ₩54 billion, which it later adjusted to ₩44.5 billion ($30 million). The outfit said it was investigating the matter, implemented extra security measures, and promised to cover customers’ losses from its own assets. Upbit has previously been the target of attackers thought to operate on behalf of North Korea, which targets cryptocurrency outfits to prop up its government and fund military spending. A quick search of The Register’s archives turned up five examples of successful attacks on South Korean crypto outfits. The nation was also home to Do Kwon, whose so-called "stablecoin" Terra USD collapsed and vaporized $41 billion of investors’ assets. Kwon pleaded guilty to fraud in August, and according to a Thursday report by Bloomberg has argued he should serve just five years in jail. That short sentence is probably rather less pleasant that the buyers’ remorse Naver may be experiencing after its Upbit investment.

Daily Brief Summary

CYBERCRIME // Naver's Upbit Acquisition Marred by $30 Million Cryptocurrency Heist

South Korean web giant Naver acquired cryptocurrency exchange Upbit just before it suffered a $30 million cyber theft, raising immediate concerns over the investment's security.

Upbit temporarily suspended Solana cryptocurrency withdrawals and deposits, initially citing maintenance, before revealing an abnormal withdrawal incident.

The heist involved ₩44.5 billion ($30 million) being illicitly withdrawn, prompting Upbit to enhance security measures and assure customers of loss coverage from its assets.

Upbit has been previously targeted by cyber attackers allegedly linked to North Korea, known for targeting cryptocurrency exchanges to fund governmental and military activities.

The incident adds to South Korea's history of significant cryptocurrency breaches, spotlighting the ongoing vulnerability of digital asset platforms in the region.

Naver's acquisition, valued at $10.27 billion, now faces scrutiny as the company navigates the immediate financial and reputational impacts of the breach.

The situation underscores the critical need for robust cybersecurity protocols in cryptocurrency exchanges to prevent similar incidents in the future.