Japanese cryptocurrency exchange DMM Bitcoin will shut down operations after transferring customer assets to SBI VC Trade Co., a subsidiary of SBI Holdings, in the aftermath of a major security breach that rocked the platform earlier this year. The move marks a significant development in one of the most severe exchange hacks of 2024.
According to statements released by the companies, all customer assets held by DMM Bitcoin are expected to be transferred to SBI VC Trade sometime in March 2025. Before that transfer is completed, SBI VC Trade said it plans to begin handling the 14 spot cryptocurrency trading pairs or items currently available on DMM Bitcoin. The companies added that discussions over the final terms of the transaction are still ongoing, and more details will be disclosed once the transfer date and method are finalized.
Hack Fallout Pushes Exchange Toward Closure
The shutdown plan comes a little over six months after DMM Bitcoin suffered a massive hack on May 31, resulting in the loss of 4,502.9 BTC. At the time cited in the report, the stolen bitcoin was valued at around $303 million. The incident quickly became one of the largest single-entity losses in the crypto sector in 2024.
In the wake of the attack, DMM Bitcoin, which is part of the broader DMM Group, announced plans to raise approximately 50 billion yen, or about $320 million, in order to reimburse affected users. That commitment was an important signal to customers and the wider market, especially as questions mounted over the exchange’s operational future and its ability to recover from such a significant breach.
Customer Convenience Cited as a Key Factor
DMM Bitcoin said it will continue investigating the hack even as it prepares to exit the business. During the post-incident investigation period, the exchange restricted withdrawals and new purchase orders for spot crypto assets. While such measures are common after a major security event, the exchange acknowledged that maintaining those restrictions for an extended period would cause considerable inconvenience to customers.
That concern appears to have played a major role in the decision to transfer accounts and assets to SBI VC Trade rather than continue operating under prolonged limitations. In its notice, the company made clear that once the transfer process is complete, DMM Bitcoin intends to discontinue its operations entirely.
SBI VC Trade to Take Over Customer Assets
SBI VC Trade’s involvement gives DMM Bitcoin users a defined transition path instead of an abrupt shutdown. Under the agreement announced so far, the SBI unit will become the destination for customer assets currently held by DMM Bitcoin. The company also indicated that it intends to support the exchange’s existing lineup of 14 spot trading items before the formal transfer takes place, suggesting an effort to smooth the migration process for users.
Still, several practical details remain unresolved. The two sides said they are continuing discussions regarding the conclusion of the agreement covering the transfer of accounts and assets. Specifics such as the exact transfer date, procedural steps, and method of transfer will be announced later.
One of 2024’s Largest Crypto Losses
The scale of the DMM Bitcoin breach drew broad attention across the digital asset industry. According to Immunefi, a platform that tracks hacks and exploits involving crypto platforms, the incident ranked among the largest losses suffered by a single entity during 2024. The case has underscored the operational and reputational damage that can follow even when an exchange moves quickly to arrange compensation.
For the Japanese market, the closure is also notable because it involves the transfer of customers from one regulated platform to another rather than a disorderly collapse. That structure may help reduce disruption for users, although it does not diminish the seriousness of the original hack or the broader questions it raises about exchange security and resilience.
What Comes Next
For now, DMM Bitcoin’s immediate priority is completing the asset migration and account transfer process with SBI VC Trade. At the same time, the company says its investigation into the May 31 breach will continue. Users are now waiting for further announcements on the timeline, operational procedures, and any additional guidance related to the transition.
The case illustrates how a major cyberattack can reshape the future of a crypto platform in a matter of months. Despite plans to reimburse customers and continue investigating the breach, DMM Bitcoin has concluded that winding down operations and transferring assets is the more practical path forward. Unless the companies announce changes to the arrangement, the exchange’s role in Japan’s crypto market will come to an end once the transfer to SBI VC Trade is completed.