Following a nearly $ 200 million hack on BitMart exchange, the Shiba Inu (SHIB) community and crypto exchange Huobi Global aim to help the exchange tighten security and track entries of stolen assets.
On Sunday, the cryptocurrency exchange BitMart was the victim of an online wallet compromise hosted on the Ethereum and Binance Smart Chain (BSC) blockchains. As a result, hackers stole more than $ 196 million., approximately USD 100 million through the Ethernet network and around USD 96 million through the BSC blockchain.
1/3 We have identified a large-scale security breach related to one of our ETH hot wallets and one of our BSC hot wallets. At this moment we are still concluding the possible methods used. The hackers were able to withdraw assets of the value of approximately USD 150 million.
– Sheldon Xia (@sheldonbitmart) December 5, 2021
1/3 We have identified a large-scale security breach related to one of our ETH hot wallets and one of our BSC hot wallets. At this time we are still finalizing the possible methods used. The hackers were able to withdraw assets worth approximately $ 150 million.
Shortly after BitMart CEO Sheldon Xia confirmed the hack, Huobi announced that it would help BitMart track the inflow of assets on its exchange and report matches to stolen funds.
Huobi will do our best to assist #BitMart in handling this issue. If there are any inflows of related assets, we will report and assist in a timely manner.
– Huobi (@HuobiGlobal) December 5, 2021
Huobi will do everything possible to help BitMart handle this matter. If there is any related asset entry, we will inform and assist in a timely manner.
Speaking to Cointelegraph, Huobi’s director of global strategy, Jeff Mei, suggested that transparency and rapid responses are essential in dealing with these types of attacks:
“Exchanges must alert their users, other exchanges and law enforcement authorities as soon as possible and be transparent about what they are doing to manage hacking and loss of user funds.”
Mei also stressed that users should not bundle all their assets on one platform or in a single wallet. He advised users to carefully investigate a platform’s security measures before investing and to promptly notify the appropriate exchange staff if they were aware of any potential security incidents.
Following the example, the Shiba Inu community also confirmed that it would help the hacked crypto exchange, citing his already existing efforts in reviewing potential security threats to ShibaSwap, a decentralized community-built exchange.
Dear #ShibArmy,
Even though the core of our project is decentralization, we want to show our support and give some love to our friends at @BitMartExchange, who are already working hard to fix the security incident that happened yesterday. pic.twitter.com/CJZjQHaP59
– Shib (@Shibtoken) December 5, 2021
Dear #ShibArmy, although the core of our project is decentralization, we want to show our support and give some love to our friends at @BitMartExchange, who are already working hard to fix the security incident that occurred yesterday.
Xia too said that the exchange would compensate affected investors with its own funds. “We are also talking to multiple project teams to confirm the most reasonable solutions, such as token exchanges. No user assets will be harmed,” he added.
The hack forced the exchange to temporarily halt all withdrawals and deposits. However, Xia is confident that BitMart will resume its services on Tuesday.
The cross-chain protocol Synapse Bridge has recently avoided a multi-million dollar exploit in the Metapool Avalanche Neutral Dollar (nUSD).
As Cointelegraph reported, Synapse Bridge prevented a hacker from stealing approximately $ 8 million worth of cryptocurrencies:
“During the past 16 hours, we encountered and discovered a bug in the way AMM Metapool contracts handle calculations of virtual price versus virtual base pool price.”
Although the threat was avoided, It didn’t take long for Synapse Bridge to deploy new nUSD pools to bolster its security against similar attacks.
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