BitGo Says Unocoin Signed Transfers With Its Own Keys, Reports No Breach

BitGo said recent outgoing transactions from Unocoin were signed with keys held by the exchange, and that BitGo’s systems were not breached, addressing an unusual wallet event that Unocoin is investigating.

BitGo said Unocoin’s account was frozen Nov. 6 and the freeze mechanism worked as designed. Its review found the transactions were signed using Unocoin’s user key and backup key, then broadcast onchain outside BitGo’s systems.

Unocoin’s wallet used a 2-of-3 self-custody multisignature setup. Unocoin held two keys, while BitGo held the third; BitGo said its key was never used in the transactions.

BitGo said no other customers were affected and directed questions about Unocoin users’ funds to the exchange. Unocoin had said it was investigating a possible misuse of the wallet’s backup access mechanism.