Odin.fun Clarifies: Did Not Fall Prey to Hackers, Bitcoins are Safe

Written by Ritu Lavania

Edited by Harsh Chauhan

Last Updated March 7, 2025

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

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.”

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Written by Ritu Lavania

Ritu Lavania is a Crypto Journalist at CryptoNewsZ with over three years of experience. She focuses on deep research and clear, honest reporting. She specializes in breaking news and regulatory updates. Ritu tracks how new laws impact the digital asset market. She also follows emerging trends like AI-driven blockchains and Web3 tech. As an active member of the crypto community, she regularly tests new dApps and wallets. Ritu’s goal is to provide fast, easy-to-read news that helps readers stay ahead in the fast-moving crypto world.