Bithumb, the second-largest virtual asset exchange in South Korea, experienced a significant financial incident where employees mistakenly issued approximately 62 million bitcoins, equating to about 60 trillion won in value, during a promotional event. This error reflected the alarming reality of a poorly regulated virtual asset ecosystem, raising concerns about the integrity of the transactions and the trust placed in such platforms. The incident highlights the potential risks associated with virtual currencies and the systemic vulnerabilities that can arise from human errors.

The mistake occurred when a Bithumb employee inaccurately entered the amount to be distributed as part of the event's prize, resulting in a number that far exceeded the actual bitcoins held by the exchange. Immediate action was taken to halt transactions, but by the time the error was recognized, it had already been live for about 40 minutes. While Bithumb managed to recover most of the erroneously issued bitcoins, a few customers had already sold them, causing a significant drop in Bitcoin prices and substantial losses for typical investors, estimated at around 1 billion won.

This incident raises critical questions about the structure of the virtual asset market, where one exchange, like Bithumb, monopolizes all functions from trading to asset custody. Unlike traditional financial markets, which have separate entities to manage various functions (such as brokers and custodial services), the lack of safeguards in the cryptocurrency sector can lead to disastrous consequences from even minor errors. The failure not only highlights the flaws in Bithumb's operational protocols but also serves as a warning about the broader implications for trust and stability within the virtual asset marketplace, as similar incidents could potentially result from malicious exploitation of such vulnerabilities.