Cryptocurrency exchange Bitunix raised its Care Fund from $30 million to $50 million USDC, expanding the reserve available to support users in exceptional situations. The firm also revealed the reserve's new on-chain address so people can monitor the funds on the blockchain.
The Care Fund protects client holdings and helps pay out compensation for unusual emergencies needing an exchange-level response. These cover abnormal events rather than normal market behavior. Payouts rely on the specifics of each case and the investigation results.
This expansion brings the total to $50 million USDC. The company states that the reserve already covers the complete value of its hot wallets, giving users an extra layer of safety alongside existing security protocols.
On-Chain Address Adds Transparency
Bitunix disclosed the new on-chain address linked to the Care Fund, enabling the public to inspect the reserve on the blockchain. People can verify the address on Etherscan.
https://x.com/BitunixOfficial/status/2112148024071802983
This blockchain visibility lets clients and observers check the balance at a specific address. Users must verify the address against official Bitunix channels to ensure it is authentic.
A Separate Reserve Within a Broader Security System
The Care Fund acts as one element of the wider security strategy at Bitunix. Instead of depending on a single safeguard, the platform uses custody setups, account security controls, penetration tests, user insurance, Proof of Reserves, and a specialized fund for rare emergencies.
These safeguards fulfill different roles. Custody arrangements secure holdings, Proof of Reserves helps verify asset amounts, and the Care Fund acts as a dedicated reserve to handle eligible user losses from unexpected events.
The $50 million reserve already matches the total value of hot wallets at Bitunix, according to the platform. Hot wallets connect to the internet to handle transactions and withdrawals. Having a reserve that matches their full value offers extra safety if an extraordinary event impacts the exchange.
Third-Party Custody Instead of Building Wallet Infrastructure In-House
Bitunix differs from platforms that build and run proprietary wallet systems. The exchange partners with established third-party custodians, such as Fireblocks and Cobo, to manage and protect digital assets.
Both vendors use multi-party computation technology. Private keys are divided into separate pieces so no single key can transfer user funds independently. A major share of customer holdings also stays in offline cold storage.
The Care Fund operates on top of this architecture as an extra layer of defense. It addresses extreme situations that custody measures alone might not entirely prevent. The fund does not replace secure custody or other safeguards, but serves as an extra reserve when an exchange-level response is necessary.
Partnering with specialized custodians lets Bitunix use dedicated infrastructure instead of building internal wallet security. This strategy works alongside the Care Fund and other protection measures within the overall security framework.
Situations involving potential payouts are evaluated case by case. Bitunix examines the details of an event, checks impacted accounts or transactions, and decides on the correct action using available evidence and applicable rules.
Bitunix originally established the Care Fund in 2025 with $30 million USDC. Growing the reserve to $50 million shows the ongoing growth of this safety network. Additional details about the Care Fund are available on the official Bitunix website.
