One of India’s largest cryptocurrency exchanges, WazirX, experienced a security breach that stripped users of $234 million worth of funds yesterday. The incident, which targeted the exchange’s multisig wallet on the Ethereum network, resulted in the theft of more than 200 different crypto assets, including Shiba Inu, Ethereum, Polygon and PEPE memecoin.
Blockchain analytics firm Lookonchain revealed Thursday evening via X that the hacker responsible for the massive heist converted most of the stolen assets into ether (ETH).
According to Lookonchain, the exploit exchanged the assets for 43,800 ETH worth about $149.46 million. The hacker’s wallet currently holds some 59,097 ETH, with an estimated value of $201. 5 million at the time of this writing.
Hacker still holding $15 million in various coins
In addition to ether, the hacker’s wallet holds about $15 million in various cryptocurrencies, including Dent, Chromia, Celer Network and Frontier tokens. Lookonchain also recorded an unusual transaction involving the deposit of 7.7 million Dent tokens (worth $7300) to a previously unused Binance deposit address.
The breach prompted WazirX to suspend all withdrawals in order to investigate the security vulnerability. In a detailed official statement, the exchange noted that the cause of the cyber attack was a discrepancy between the data displayed in Liminal ‘s interface and the actual content of the transaction. During the cyber attack, there was a discrepancy between the information displayed on Liminal’s interface and what was actually signed.
In an emailed statement to CryptoNews, Liminal Custody explained:
“Our preliminary investigation shows that one of the standalone multi-signature smart contract wallets created outside of the Liminal ecosystem was compromised. We can confirm that the Liminal platform has not been breached, and Liminal’s infrastructure, wallets and assets remain secure.”
The exact method of the hack is still under investigation, but preliminary reports by blockchain analysis firm Elliptic suggest the involvement of hackers linked to North Korea.
Elliptic ‘s report highlights that the blockchain data points to techniques commonly used by North Korean hackers, who have attacked cryptocurrency exchanges in the past to fund the regime. The breach adds to a series of high-profile hacks in the cryptocurrency sector, raising concerns about the security of digital asset exchanges.
