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The South Korean cryptocurrency exchange Bithumb has announced it will compensate customers affected by a platform outage that lasted approximately 100 minutes on September 2.
According to the South Korean newspaper Seoul Kyungjae, the platform went down “suddenly” at 11:27 PM KST on September 2.
Bithumb confirmed that the disruption was caused by computer system-related issues rather than an external hacking attempt.
Bithumb trading volumes on September 2-3. (Source: CoinGecko)
Bithumb Outage: What We Know
The exchange explained that order executions were delayed and its order book froze. Bithumb stated that its engineers “immediately began system maintenance” after detecting the fault.
However, the newspaper noted that Bithumb’s “trading services were down for approximately 1 hour and 40 minutes.”
On September 3, Bithumb announced it would “fully compensate users for losses incurred due to the trading suspension.”
The exchange said it plans to “sequentially review” customer complaints and provide compensation for traders who lost money as a result of the outage.
Bithumb indicated it hopes to complete the review and compensation process within “approximately one month.”
An exchange official stated that a transaction system error caused the problem. Bithumb said: “The outage was not caused by external factors like hacking. We are analyzing the details of this technical error to ensure this does not happen again.”
The top five coins per trading volume on Bithumb on September 2-3. (Source: CoinGecko)
Do South Korean Exchanges Need to Shore up Their Systems?
The newspaper reported that customers had suffered “significant disruption.” This follows major system errors at South Korea’s largest exchanges during last year’s martial law crisis.
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Crypto markets experienced turmoil in early December 2024 after former President Yoon Suk-yeol attempted to declare martial law.
Some traders responded by selling their crypto holdings, while others attempted to “buy the dip.”
The result was a massive and sudden surge in web traffic to major exchanges, with many platforms seemingly unable to handle the strain.
“Repeated computer outages at major exchanges are fueling investor discontent,” Seoul Kyungjae wrote.
The crypto exchange Bithumb has made “significant reductions” to the scale of its crypto lending services amid ongoing concerns from financial regulators.#Bithumb #CryptoRegulationshttps://t.co/J2iCgMS6Q8
— Cryptonews.com (@cryptonews) August 12, 2025
Industry Officials Call for Legal System Improvements
Data compiled by the office of People Power Party lawmaker Lee Heon-seung revealed that 89 outages occurred at the country’s five fiat-trading exchanges between 2018 and 2024.
Bithumb experienced 41 of these outages, with its closest rival Upbit experiencing 28 cases. GOPAX suffered from 11 outages during the period, while Coinone reported eight cases. Korbit experienced just one system-related outage between 2018 and 2024.
Bread prices in Korea have been rising, adding to consumers’ financial burden amid the inflation of food prices. The persistent rise came to the fore after a popular YouTuber sold bread for 990 won (70 cents), sparking a debate over the current prices.https://t.co/xtLdgIjjtB
— The Korea JoongAng Daily (@JoongAngDaily) September 3, 2025
The newspaper noted that South Korea currently lacks industry-wide legal compensation standards. Consequently, deadlines for reporting damages and compensation methods “vary greatly from exchange to exchange.”
The newspaper quoted an unnamed South Korean crypto industry official as stating:
“The crypto market is highly volatile and operates 24 hours a day. As such, even a few minutes of trading interruption can result in investors making losses. We need to create a streamlined compensation system for damages caused by exchanges’ computer system failures.”
Bithumb aims to go public on the NASDAQ stock exchange in 2026. It has recently launched a spinoff company as part of this bid. Bithumb claims this move has allowed it to divide its core exchange operations from its new business arm.
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