Noones, a peer-to-peer crypto marketplace, recently fell victim to a security breach resulting in significant losses totaling around $8 million. The exploit was discovered by on-chain investigator ZachXBT on Jan. 24, who noted that the breach likely occurred between Jan. 1 and Jan. 2. During this time, the platform’s hot wallets processed numerous suspicious transactions, each valued at under $7,000. Collectively, these transactions amounted to $7.9 million and involved cryptocurrencies such as Ethereum, TRON, Solana, and Binance Smart Chain (BSC). The stolen funds were subsequently transferred to Ethereum and BSC before being routed through the crypto mixer Tornado Cash to obfuscate their origins.
Despite the severity of the incident, Noones initially chose not to address the breach, instead attributing any disruptions to a routine New Year maintenance update. However, following ZachXBT’s public disclosure of the exploit, Noones CEO Ray Youssef confirmed the security breach in a social media post. Youssef acknowledged a vulnerability in the platform’s Solana bridge as the root cause of the breach, which the security team promptly remediated. He reassured users that their funds and personal data remained safe, emphasizing the platform’s commitment to security by keeping the Solana bridge inactive until rigorous penetration testing is completed.
The Noones breach is just one example of a concerning trend of security breaches within the crypto industry. Phemex exchange also recently confirmed a breach resulting in substantial losses, which has been linked to North Korea-backed hacker groups. Last year alone, malicious actors managed to steal approximately $3.6 billion in crypto, with $1.3 billion being laundered illegally.
As the crypto industry continues to grapple with security challenges, it is crucial for platforms like Noones to prioritize robust security measures to safeguard user funds and data. By implementing stringent testing protocols and promptly addressing vulnerabilities, platforms can mitigate the risk of security breaches and protect their users from potential threats.
References:
– Noones Security Breach: $8 Million Lost in Recent Attack
– Phemex Exchange Confirms Security Breach Linked to North Korea-Backed Hackers
– Crypto Industry Faces Rising Threat of Security Breaches and Illegal Money Laundering