Korbit's Customer Ledger and On-Chain Balance Diverge by More Than 210,000 Tokens After Harmony Rollback: Holding Ratio in the 95% Range

Korbit, a domestic virtual asset exchange, disclosed on August 28 that its Harmony (ONE) asset holding ratio had fallen below 99%. According to the disclosure, the amount of Harmony recorded in customer accounts was 4,706,076 tokens, while the exchange's actual holdings were 4,491,789 tokens, leaving a shortfall of 214,287 tokens. The holding ratio calculated from those figures is roughly 95.4%. Converted into won at the time of reporting, the amount comes to about 214,200 won, which is not a large sum, but the fact that the reserve asset ratio fell below 100% is a ledger problem separate from the amount. The gap arose from the August 12 security incident involving unauthorized token issuance on the Harmony network and the rollback that followed. According to News1, the scale of the unauthorized issuance was put at 3,010,010,000,000 tokens, and the rollback also invalidated 109,126 ordinary transactions and 315 staking transactions that had been processed after the incident. Korbit explained that some deposit transactions it had properly received before suspending deposits, and had already reflected in customer accounts, were invalidated on-chain by the rollback. As a result, the obligation to pay customers remained on the exchange's internal ledger, while part of the on-chain assets backing it disappeared. News1 reported that Huobi Korea had already designated Harmony as a cautionary asset in 2021, whereas Korbit designated it as a cautionary asset only on August 12, the day the security incident occurred. Korbit said that, with deposits and withdrawals of the asset suspended, it would cover the entire shortfall using its own funds and would discuss further measures with the Harmony foundation. Korbit explained that once these steps are completed the asset holding ratio will return to a normal level, but the remediation is still at the planning stage.