Cryptocurrency Heist: WazirX Loses Over $230 Million
WazirX, a popular Indian cryptocurrency exchange, was hit by a major security breach on Wednesday night, resulting in the theft of over $230 million in digital assets. The platform acknowledged the incident and confirmed that attackers “appear to have breached” their security features, leading to the loss of funds. WazirX, in an effort to protect the remaining assets, has temporarily halted all withdrawals.
What Happened?
Blockchain security firms like Elliptic, Arkham, and BlockSec detected millions of dollars in cryptocurrency being drained from WazirX’s wallets. Elliptic, which pegged the losses at $235 million, identified the stolen cryptocurrencies as ETH, several U.S. dollar-pegged stablecoins, and other digital assets. The attackers then quickly converted a portion of these tokens into Ether using decentralized services.
North Korea Suspected
Elliptic, relying on blockchain data and other information, points the finger at hackers affiliated with North Korea. This aligns with the findings of a prominent crypto hack researcher who believes the attack bears the hallmarks of the Lazarus Group, a notorious North Korean hacking group infamous for high-profile crypto platform heists. The UN is actively investigating 58 cyberattacks allegedly conducted by North Korean hackers over a six-year period, resulting in the theft of approximately $3 billion in cryptocurrencies.
Another Blow to Crypto Security
This incident highlights the ongoing vulnerability of cryptocurrency platforms to cyberattacks. Just this week, another crypto platform suffered an $8 million theft, while last month, DMM Bitcoin, a Japanese cryptocurrency exchange, lost over $300 million in Bitcoin.
What’s Next?
While WazirX has pledged to recover the stolen funds, the exact timeline and methods remain unclear. The company is currently conducting a thorough investigation and has reached out to relevant wallets for potential recovery. The impact of this major heist on the Indian crypto market and the future of WazirX is yet to be determined.
