Unocoin Investigates BitGo Wallet Backup Mechanism as Services Remain Paused

Unocoin is investigating whether a backup mechanism in its BitGo multisignature wallet was exploited, potentially exposing information or causing cryptocurrency losses, as the exchange keeps its services paused.

The mechanism is intended to provide access to funds when BitGo is unavailable. Unocoin said it appears to have been used improperly, but has not confirmed whether assets were lost or information exposed.

Unocoin also said BitGo confirmed that it froze the exchange’s corporate account on Nov. 6 at Unocoin’s request and that the freeze remains effective. The abnormal transfers Unocoin had identified were signed outside BitGo and broadcast on-chain; they did not pass through BitGo’s platform.

The exchange is continuing its investigation. Its services remain paused while it assesses the possible impact.