Upbit has increased the proportion of cold wallets to 99%, far exceeding the 80% cold storage standard required by South Korean regulations.

According to a report by beincrypto, Upbit announced it will increase its cold wallet storage ratio to 99% and reduce its hot wallet ratio to below 1%, following the hacking of $31 million worth of Solana assets on November 27. Upbit's current cold wallet ratio is 98.33%, far exceeding the 80% minimum standard stipulated by South Korea's Virtual Asset User Protection Act and the 82-90% level of other South Korean exchanges, as well as surpassing Coinbase's 98% and Kraken's 95-97%, among other major global exchanges. However, analysts worry that in South Korea's closed market environment, extremely low hot wallet reserves may delay withdrawals. Last month, during Upbit's withdrawal suspension, the disruption of arbitrage channels caused several Altcoin to surge several times in price within hours.