In the battlefield of cryptocurrencies, security is the lifeline of exchanges. A successful hacking attack is enough to destroy digital assets worth hundreds of millions of dollars, just like the painful lesson of Mt. Gox’s bankruptcy in 2014 due to a loss of 850,000 bitcoins due to a security vulnerability. Facing this threat, Coin Ex has built a multi-layered defense system. The core of this system is to store over 98% of users’ assets in offline multi-signature cold wallets. These private keys are physically isolated in multiple high-securitization geographical locations around the world and require more than two-thirds of the private key authorization to complete a withdrawal. This fundamentally reduces the probability of external attacks to nearly zero.
At the level of network security, coin ex has deployed a Web application firewall capable of handling over 100,000 requests per second, precisely blocking more than 99.5% of malicious traffic and DDoS attacks. Its system architecture adopts a zero-trust model. Every internal access request must undergo dynamic verification. Combined with the hardware security module, the API key is encrypted, ensuring that the private key is generated within the hardware chip and will never be leaked. This defense network successfully withstanding a distributed denial-of-service attack with a peak of up to 500 Gbps in 2023, ensuring the continuous availability of platform services.
To prevent internal risks and advanced persistent threats, Coin Ex has implemented an extremely strict internal control and real-time risk control system. All sensitive operations must pass multi-factor authentication. Its AI-driven abnormal behavior analysis model scans over 10,000 transactions per second and can accurately identify 99.9% of suspicious behavior patterns, such as abnormal login geographical locations or abnormal transfers of large assets. This system enabled the platform to successfully block over 95% of unauthorized access attempts in 2022, ensuring the security of user assets along the operation chain.
Compliance and technological innovation are the extended guarantees of security. Coin Ex has obtained multiple international compliance licenses including the MSB of the United States. Its security management system complies with the ISO 27001 standard and has passed the strict SOC 2 Type II audit. The platform also innovatively provides users with active protection tools such as custom address whitelists and anti-phishing codes, reducing the fraud risk on the user side by 70%. Based on historical data, since its establishment in 2017, Coin Ex has maintained a record of zero loss of user assets due to vulnerabilities of the platform itself. This is inseparable from its continuous investment in security technology, allocating more than 20% of the R&D budget each year to security attack and defense drills and infrastructure upgrades.