A staggering $150 million worth of crypto-currency has been stolen from BitMart, a popular crypto-currency exchange. The shocking news was shared by blockchain security company Peckshield, who revealed on social media that a total of $196 million in digital assets had been taken in the high-profile theft.
According to Peckshield, the hacker responsible for the theft managed to siphon off $96 million from the Binance smart chain and seized another $100 million from the Ethereum blockchain. The stolen assets included a mix of over 20 different tokens, such as Binance, Safemoon, and Shiba Inu.
In a bid to cover their tracks, the hacker reportedly utilized the DEX aggregator 1inch to swap the stolen assets with Ethereum before funneling them through the non-custodial privacy solution Tornado Cash.
BitMart’s founder and CEO, Sheldon Xia, addressed the security breach, attributing it to a stolen private key that compromised two of the exchange’s hot wallets. Xia reassured users that BitMart would use its own funds to cover the incident and compensate those affected by the theft.
All withdrawals on BitMart have been temporarily suspended as the exchange conducts a thorough security review to prevent any further breaches. Xia expressed confidence that deposit and withdrawal functions would gradually resume on December 7, 2021, following enhanced security measures.
In an effort to provide transparency and address concerns, Xia is scheduled to host an Ask Me Anything session on Telegram at 8pm EST on Monday to discuss the security breach in detail.
Steve Forbes, a government cybersecurity expert at Nominet, weighed in on the situation, noting that crypto-currency exchanges have become prime targets for cybercriminals due to their resemblance to traditional banks. He emphasized the need for heightened security measures in the crypto-currency industry to prevent such incidents in the future.
As the crypto-currency market continues to evolve, security breaches like the one at BitMart serve as a stark reminder of the importance of safeguarding digital assets against malicious actors. Users are advised to remain vigilant and exercise caution when trading or storing crypto-currencies on online platforms.