CoinDCX Exchange Falls Victim to $44 Million Hack
In a distressing turn of events, the Indian cryptocurrency platform CoinDCX found itself at the middle of a cyber attack last Friday, leading to a staggering $44 million loss. This breach underscores the persistent threats lurking within the digital currency realm.
Details of the Cyber Breach
The attackers managed to infiltrate an internal CoinDCX account designated for “liquidity provisions” with one other exchange by exploiting a server vulnerability. This breach allowed them to siphon off the funds, but thankfully, user assets remained untouched.
CEO’s Assurance on User Funds
Sumit Gupta, the CEO of CoinDCX, reassured users that their funds are secure. He explained, “The incident was quickly contained by isolating the affected operational account. Since our operational accounts are segregated from customer wallets, the exposure is just limited to this specific account and is being fully absorbed by us, from our own treasury reserves.”
Tracing the Stolen Funds
Onchain investigator ZachXBT provided insights into the hackers’ movements, noting that the illicit activities began with 1 Ether (ETH) sourced from Tornado Cash. Subsequently, a portion of the stolen assets was moved from Solana to Ethereum.
Funds stolen through the CoinDCX hack traced. Source: ZachXBT
Reaching Out for Comments
Cointelegraph attempted to contact CoinDCX for his or her official statement, but no response was received by the point of writing. The silence leaves room for speculation and underscores the urgency of addressing such incidents promptly.
A Stark Reminder of Past Incidents
In a curious accident, analyst Infinity Hedge highlighted that one other renowned Indian exchange, WazirX, faced the same fate exactly one yr ago, with hackers making off with $235 million. This serves as a stark reminder of the cybersecurity challenges besieging the crypto industry and its investors.
This is a developing story, and further information will probably be added because it becomes available.
