Xeggex.com is a centralized cryptocurrency exchange that offers trading, deposits, and withdrawals for various digital assets. Known for supporting a wide range of altcoins and lesser-known tokens, Xeggex provides a user-friendly platform with security features like two-factor authentication (2FA) and cold storage for funds.

Xeggex Hacked: CEO’s Account Compromised, Users Locked Out – Are Funds Safe?

What Happened to Xeggex?

The cryptocurrency exchange Xeggex has suffered a major security breach, leaving users unable to log in or access their funds. According to official statements from the exchange, their CEO’s account was hacked, leading to the loss of the Xeggex community group and possible security risks.

To prevent further damage, Xeggex disconnected its database from the network, resulting in the current login issues. While the team claims that user funds are safe, the lack of access and details about the attack have left many investors worried.

Xeggex’s Official Statement

In a post on X.com (formerly Twitter), Xeggex confirmed the hack, stating:

“Dear users, in this hard time, our CEO was hacked, and he lost [his] Telegram account and Xeggex community group. Besides that, we still don’t know details about it. Also, what is important in this moment is that we succeeded in locking down wallets, so funds are safe. The problem with logins is still there due to us disconnecting the database from the network. We will go in the background to examine everything. The next news will be more detailed after we get a wider picture.”

 

In a follow-up post on February 4, the team reassured users that they were actively working to restore services:

“Dear Xeggex users, we would like to thank you for your patience, trust, and understanding. We are all going through this together. The development team is busy restoring all services. Once these tasks are complete, we will provide a detailed explanation and updates on what’s happening. The most important thing: funds are safe!”

Is Your Crypto Safe?

Xeggex claims that funds are safe because they locked down wallets before further damage could occur. However, since users cannot log in, there is no way to independently verify their balances or withdraw their assets.

The biggest concerns right now include:

  • How deep was the breach? If the CEO’s account was hacked, attackers might have gained access to sensitive internal systems.
  • Were user funds ever at risk? While Xeggex claims they locked down wallets, it’s unclear if any funds were compromised before this action was taken.
  • When will logins be restored? Without a clear timeline, users remain in the dark about when they will regain access to their accounts.

What Should Users Do?

Until more details are available, Xeggex users should take precautionary steps to protect themselves:

Follow Official Updates – Only trust updates from Xeggex’s official X.com account. Since their Telegram was compromised, be wary of any messages from unofficial sources.

🚨 Beware of Scams – Hackers and scammers may take advantage of the situation by impersonating Xeggex support. Never share personal information, private keys, or seed phrases with anyone.

📂 Gather Proof of Your Balances – If you had funds on Xeggex, save any transaction history, deposit records, and emails related to your account. This could be useful if withdrawal issues arise later.

Prepare for Delays – There is no confirmed timeline for when logins will be restored, so users should expect potential delays before regaining access to their accounts.

💡 Consider Alternative Storage for Future Funds – This incident highlights the risks of keeping funds on centralized exchanges. Once access is restored, users may want to withdraw their assets to a secure hardware wallet (Ledger, Trezor) or use a trusted decentralized platform.

What Happens Next?

As of now, Xeggex has not provided an exact timeline for restoring logins or resuming full operations. The exchange has promised a more detailed update once they have a clearer picture of the situation.

Until then, users should remain cautious, avoid panic, and be on alert for phishing scams. If Xeggex successfully restores access and verifies that all funds are safe, it could recover from this crisis. However, if delays continue or new security concerns arise, trust in the platform could be permanently damaged.

Final Thoughts

This incident serves as another critical lesson in crypto security—centralized exchanges can be vulnerable to attacks, even if funds are ultimately protected. For crypto investors, the safest approach is always self-custody—holding funds in a secure wallet where you control the private keys.

For now, Xeggex users can only wait for further updates while taking steps to protect themselves from potential scams. We will continue to monitor the situation and provide updates as more information becomes available.

🚨 Were you affected by the Xeggex hack? Let us know your experience in the comments below! 🚨