Upbit Removes Warning for Taiko Following Exploit Review

Upbit Lifts Warning on Taiko

South Korean cryptocurrency exchange Upbit has officially removed Taiko (TAIKO) from its trading warning list after completing a review of a security breach that occurred in June. The exchange announced this change on July 24, 2026, after evaluating the project’s response to the incident.

Details of the Review

The warning on TAIKO was initially placed on June 22, when Upbit identified a security compromise affecting the systems responsible for issuing, transferring, or storing the asset. During the review, Upbit suspended deposits while they assessed the situation and the project’s remedial actions.

Following the review, Upbit confirmed that Taiko had provided sufficient information about the breach and the measures taken to enhance security. While specific technical documentation was not released, Upbit stated that “the reason for the trading warning has been resolved.”

Resuming Deposits and Trading Activity

With the warning lifted, TAIKO deposits are set to resume across three trading pairs: TAIKO/KRW, TAIKO/BTC, and TAIKO/USDT. Users will also see transfers made during the warning period processed sequentially as network services stabilize.

After the delisting concerns eased, TAIKO experienced a positive market reaction, rising approximately 11% on the same day of the announcement. However, Upbit cautioned that deposits reopening may lead to price volatility, especially with potential differences in prices compared to international exchanges.

The June Security Incident

The June exploit had prompted Taiko to halt activities on its network to control unauthorized withdrawals, which are estimated to have caused over $1 million in losses. The incident involved an attack on Taiko’s bridge, which allowed crafted proofs to facilitate unauthorized releases from its ERC20 vault on Ethereum.

In response to this breach, Taiko requested that centralized exchanges pause TAIKO deposits, withdrew funds from its bridges, and temporarily halted new block production. Security researchers later estimated losses closer to $1.7 million.

Conclusion

Both Upbit and Bithumb, which initiated a similar review, have lifted their warnings on TAIKO, transitioning back to normal deposit and withdrawal operations. However, Upbit emphasizes that they can reinstate warnings in the future if new security risks arise. Users are advised to verify the correct network for deposits and be aware of potential rapid price movements as trading resumes.