A South Korean cryptocurrency exchange files for bankruptcy after hack, says users will get 75% of assets for now

Key Points
  • Yapian, which owns the Youbit cryptocurrency exchange in South Korea, filed for bankruptcy following a hack.
  • Yapian says it lost 17 percent of its assets.
  • Customers will only receive 75 percent of their holdings until the company moves through bankruptcy proceedings.
A big cryptocurrency exchange just filed for bankruptcy

Yapian, a company that owns the Youbit exchange in South Korea, filed for bankruptcy Tuesday after a hack that resulted in the loss of 17 percent of its cryptocurrency, according to a statement on its website.

(News of the hack was first reported by The Wall Street Journal.)

The exchange was used to purchase and sell cryptocurrencies including bitcoin and ethereum.

A translated statement posted by the company on its website said customers will be able to withdraw 75 percent of assets held there until the bankruptcy process is complete.

After a hack in April, the company said, it did its "best to improve the security, recruitment and system maintenance."

South Korea's Internet and Security Agency blamed the earlier attack on cyberspies working for North Korea, according to the BBC.