Hackers have struck again, this time targeting the popular cryptocurrency betting platform Stake.com. The self-proclaimed “world’s leading betting platform” based in Curaçao, revealed that over $40 million in cryptocurrency had been stolen from their Ethereum (ETH) and Binance Smart Chain (BSC) hot wallets.
Hot wallets, which are less secure than cold wallets, proved to be vulnerable to unauthorized access in this attack. The hackers were able to make unauthorized transactions from the hot wallets, prompting Stake.com to take immediate action to secure the funds and investigate the breach.
Fortunately, Stake.com reassured its users that their funds were safe, as the hackers only targeted the ETH and BSC wallets. BTC, LTC, XRP, EOS, TRX, and all other wallets remained untouched by the cybercriminals.
The incident was first detected by blockchain security company Cyvers, who noticed suspicious activity involving the withdrawal of $16 million worth of Ethereum from Stake.com. Further investigation by blockchain investigator ZachXBT revealed that an additional $25.6 million in BSC and Polygon had been drained from the hot wallets.
In response to the breach, Stake.com quickly remediated the issue and resumed all services. Deposits and withdrawals were processing instantly for all currencies, providing relief to users who may have been concerned about the security of their funds.
Hot wallets have become a common target for cyberattacks, with state-sponsored and cybercrime actors constantly looking for vulnerabilities to exploit. In a recent report, Kaspersky warned of a new malicious email campaign that delivered 85,000 scam messages during the spring of 2023 alone, highlighting the importance of robust security measures in the cryptocurrency industry.
As Stake.com continues to investigate the breach and strengthen its security protocols, users are reminded to exercise caution when dealing with cryptocurrency and to choose reputable platforms that prioritize the protection of user funds.