Three of South Korea’s top cryptocurrency exchanges—Upbit, Bithumb, and Coinone—issued a coordinated investment warning for Hedera (HBAR) on July 11, 2026, after confirming a security incident involving an unauthorized outflow of assets from the Hedera network. Shortly after the warnings, Upbit also temporarily suspended all HBAR deposits and withdrawals as a precautionary measure.
The exchanges, which dominate South Korea’s crypto market, published the warnings on their platforms urging investors to exercise heightened caution when trading or holding HBAR. According to Upbit’s status page, the suspension affects all HBAR-related transactions, with no estimated timeline for resumption. The exact technical details of the breach and the total amount of assets affected remain undisclosed, but the coordinated nature of the alerts signals a serious and verified threat.
Following the news, HBAR’s price dropped by approximately 15% within hours, with trading volumes surging as investors moved to liquidate positions. Market participants are also questioning potential vulnerabilities in third-party applications or bridges connected to the Hedera network, which uses a hashgraph consensus algorithm distinct from blockchain.
South Korean exchanges use investment warnings as a formal mechanism that often precedes trading suspensions or delistings. This incident underscores ongoing security risks in crypto and the immediate market impact such incidents can cause. Users are advised to secure their accounts, rely on official channels, and avoid panic-driven decisions.
