Crypto Exchange Catalyx Halts All Trading After Security Breach

​CatalX CTX Ltd., the company behind the Canadian crypto exchange Catalyx, announced that it has frozen all trading, deposits, and withdrawals following a security breach involving the loss of some customer funds.

The company said in a press release that it has launched an investigation into the incident, which may involve an employee. It didn't disclose the amount it suspects to have been lost.

Last Friday (December 22), the Canadian regional regulator, the Alberta Securities Commission (ASC), issued an Interim Cease Trade Order against CatalX CTS Ltd and its CEO Jae Ho Lee, requiring them to "cease trading in or purchasing any securities and derivatives." The Order is in effect for 15 days and will expire on January 5.

The crypto industry is exposed to increasing risks and crimes. Cryptocurrency exchange Bitzlato​ announced on Wednesday the suspension of its withdrawal services, weeks after its co-founder pleaded guilty to several charges including money laundering. Previously, law enforcement agencies in the U.S. and France also cracked down on the crypto exchange's website.