BitMart Declares Insolvency and Proposes Repayment Options

BitMart has officially declared insolvency after revealing a balance shortfall of approximately $319.5 million. This amount is linked to the aftermath of a hack on the platform that occurred in 2021.

The company's financial situation deteriorated significantly by 2026: it became unprofitable, and mass panic withdrawals by users further undermined liquidity. Management deemed an investor's offer to contribute $10 million insufficient to save the situation.

Users are offered three options for settling debts:

• Receive part of the funds immediately from remaining liquid assets, including USDT, USDC, BTC, ETH, and SOL.
• Exchange their balance for Restitution Tokens and wait for the return of assets stolen during the 2021 hack.
• Receive Continuum Tokens, backed by BitMart's investments and illiquid assets, with the right to a share of future profits if the business is restarted.

The developed plan requires court approval. Over the next 3-4 weeks, BitMart will hold discussions with its 50 largest users, after which it will disclose the expected repayment percentage for each of the proposed options.