Amid the panic on X regarding the pause of withdrawal services, the developer of the Bitcoin memecoin generator, Odin.fun, announced that the application did not fall victim to hackers.
Odin.Fun Assures Users: Bitcoin Deposits are Backed by Reserves
Clarification on recent ODIN•FUN events:
1. ODIN•FUN was not hacked.
2. There was a bug in our deposit sync code that resulted in a few users having a balance larger than they deposited. This is why nobody was able to find the 74 BTC deposit transaction on chain. This has all…
— Bob Bodily, PhD 👋 | #BTC #ETH #ICP 🧙🏽♂️ (@BobBodily) March 7, 2025
On Friday, Bitcoin traders were abuzz with rumors and concern after Odin.fun seemingly paused withdrawals for many users. This sparked unrest and speculation that the Bitcoin version of Pump.fun had been compromised by hackers. In response, Odin.fun developer BobBodily clarified that the platform had not been attacked, and that Bitcoin deposits are fully backed by reserves.
He explained, “There was a bug in our deposit sync code that caused some users to show a balance larger than they had actually deposited. This is why nobody was able to find the 74 BTC deposit transaction on-chain. We’ve fixed the issue as of about 12 hours ago. (You can check the balance of the 74 BTC user, which has returned to normal.)”
BodBodily further explained that when users deposit funds, they are placed into a decentralized 12/34 threshold signing setup, which secures the BTC provided by the Internet Computer Protocol (ICP).
He elaborated on the technical workings, stating, “The funds are then transferred to the ODIN•FUN smart contract. This is the ~91 BTC figure that has been circulating. It accurately represents the BTC in the platform. Again, all user BTC is backed 1:1 by the BTC within Odin.fun. The 74 BTC deposit didn’t show up here due to the aforementioned deposit sync bug.”
Looking forward, Bob Bodily mentioned that the team is working on improving the ODIN.FUN frontend by adding deposit and withdrawal status indicators (e.g., pending, confirmed, credited), along with links to explorers for tracing funds in a completely decentralized, on-chain manner.
The team is also enhancing the platform’s security by continuing to harden the smart contract code, API, and indexers through both internal and external reviews and audits.
Bob concluded, “We’re refining our processes for handling larger BTC amounts on the platform. This means that users may experience delays as we implement additional confirmations for larger deposits or withdrawals to enhance platform security.”
Also Read: Thailand Arrests Four European Hackers, for Stealing Bitcoins worth $16M
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