Exchange giants Bithumb lost $180m in 2018
- 2018’s loss is in stark contrast to 2017 when they made a net profit of $376m.
- On the other hand, their revenues grew by 17.5% in 2018 as opposed to 2017.
According to Korea Times, South Korea’s largest crypto exchange, Bithumb, had posted a 205.5 billion won (approximately $180 million) loss in 2018, This is a far cry from 2017 when the exchange earned a net profit of 427 billion won ($376 million). According to Bithumb operator BTCKorea.com, the losses were primarily due to low trading volumes and the 2018 bear market.
Bithumb also revealed other vital stats:
- Their revenues grew by 17.5% to $343.4 million in 2018, compared to the $292.3 million they bagged in 2017.
- Their operating profit went down by 3.4% to $224.50 million as opposed to 2017’s $232.50 million.
- Operating expenses rose from $59.8 million to $119 million, while non-operating expenses increased exponentially from $3.6 million to $334.8 million.
This is the latest in a series of bad news that the exchange has been suffering from lately:
- In June 2018, hackers stole ~$30m from Bithumb.
- Last month Bithumb lost $13 million in an attack which they believe was done by insiders.
- In January of this year, they had to let go of 30 out of 240 employees due to declining profits.
Author
Rajarshi Mitra
Independent Analyst
Rajarshi entered the blockchain space in 2016. He is a blockchain researcher who has worked for Blockgeeks and has done research work for several ICOs. He gets regularly invited to give talks on the blockchain technology and cryptocurrencies.
