This week has been particularly tumultuous in the crypto world, with multiple high-profile hacks exposing critical vulnerabilities in both decentralized finance (DeFi) platforms and centralized exchanges. Over $50 million has been lost in just seven days, highlighting the urgent need for tighter security measures across the industry.
Here’s a breakdown of the most significant incidents.
ShezmuTech – $4.9 Million Lost (September 21, 2024)
In what could be termed a remarkable breach for a budding DeFi project, ShezmuTech was sent reeling after it lost $4.9 million worth of ShezUSD tokens this week because of a contract vulnerability.
This particular exploit revolved around a vault that accepted collateral that could be minted by just anybody thereby giving malicious individuals like the attacker scope to borrow as many Shez tokens were needed without question.
Investigations into the attack revealed that liquidity restrictions prevented the hacker from exchanging the entire sum, leaving approximately $700,000 untouched.
BingX – $43 Million Stolen (September 20, 2024)
BingX, a centralized crypto exchange, based in Singapore, has reported an attack on its hot wallet from which $43 million was taken away. BingX’s technical team detected abnormal network activity around 4:00 AM that led to the immediate cessation of the withdrawal services.
According to PeckShield, a security firm and on-chain analysis show that more than 360 different altcoins were among the stolen assets before they were immediately swapped for Ethereum (ETH) and Binance Coin (BNB).
In spite of the attack’s seriousness, BingX reassured its users that most of their funds were stored in cold wallets to reduce overall damage. The exchange has promised to compensate customers while collaborating with security forces.
Banana Gun – Lost $1.9 Million (September 19, 2024)
Banana Gun, an online trading bot that is highly preferred by many, found itself in a loophole. The hackers were able to gain access to several user wallets associated with Banana Gun; this led to the theft of 563 ETH equalling $1. 4 million.
So far, 36 victims have been identified, though it remains unclear whether Banana Gun itself was directly compromised. The team is working diligently to assess the extent of the breach.
DeltaPrime – $5.98 Million Drained (September 16, 2024)
The other DeFi platform running on the Arbitrum network, DeltaPrime was breached earlier this week due to a leaked private key. An attacker was able to steal $5.98 million from DeltaPrime. The private key in question allowed the hacker to access all of the users’ funds that were kept at DeltaPrime’s Blue protocol.
DeltaPrime has acknowledged the breach and is working with security firms to trace the stolen assets and restore user confidence.
It’s Been a Grim Week for Crypto
In total, over $50 million was stolen across various platforms, underscoring the critical need for improved security protocols and real-time monitoring. As investigations continue, the crypto community will be watching closely to see how platforms like BingX and ShezmuTech handle these breaches and work to recover the stolen funds.
Investors, proceed with caution!
