Iran has taken swift action in response to a major cyberattack that targeted the country’s largest crypto trading platform, Nobitex. The central bank has issued a new rule requiring all domestic crypto exchanges to restrict their operating hours, limiting trading to between 10am and 8pm. This move is aimed at tightening oversight and reducing the likelihood of future incidents, particularly during off-hours when cybersecurity response times are slower.
The cyberattack on Nobitex, which resulted in the theft of over $90 million, has been attributed to the pro-Israel hacking group Gonjeshke Darande, also known as Predatory Sparrow. The group claimed responsibility for the breach and threatened to release the exchange’s source code and internal data. This attack comes on the heels of a similar incident targeting state-owned Bank Sepah.
Experts in cybersecurity have noted that the stolen funds were not moved for profit but instead were “burned” by sending them to wallet addresses with no known private keys, effectively rendering the assets useless. Several of these wallet addresses contained derogatory messages directed at Iran’s Revolutionary Guard Corps, suggesting that the hack was politically motivated.
Blockchain analytics firms Elliptic and Chainalysis confirmed that over $90 million was siphoned from Nobitex and traced to burner wallets. They also highlighted a pattern of cyberattacks coinciding with heightened tensions between Israel and Iran.
The hack on Nobitex has prompted Iran to take a closer look at its crypto sector, which plays a crucial role in bypassing international sanctions. Exchanges like Nobitex enable users to trade outside the traditional banking system, making them essential for countries facing sanctions. However, this reliance also exposes them to vulnerabilities in the current geopolitical climate.
By imposing restrictions on crypto trading hours, Iranian authorities seek to exert more control over the sector. While this measure may not completely prevent future cyberattacks, it underscores the urgency with which Tehran is working to safeguard its digital economy.
The aftermath of the hack serves as a wake-up call for Iran to address the risks associated with its dependence on crypto assets. As the country navigates the complexities of international sanctions and cybersecurity threats, finding a balance between financial innovation and security will be crucial for its economic stability.