CoinEx, the global cryptocurrency exchange, has fallen victim to a significant security breach, resulting in the loss of a minimum of $29 million. Blockchain analysts have uncovered a series of suspicious transactions draining the exchange’s hot wallets.
The breach was first reported by crypto security platform Cyvers on Tuesday, urging CoinEx to immediately suspend all deposits and withdrawals. This sophisticated hack encompassed three distinct blockchains, targeting various tokens. The thieves made off with $18.12 million worth of assets from Ethereum, $8.5 million from Tron, and $291,000 from Polygon.
CoinEx has identified several potential causes for the breach, including “access control violations,” “private key leakage,” and even the possibility of an “insider job.”
The investigation was further aided by on-chain investigator ZachXBT. Cyvers also noted that the hackers’ three suspicious addresses have already started converting their ill-gotten assets into Ethereum, with one address transferring 3365 ETH, equivalent to $5.3 million, to an externally owned address.
In response to the breach, CoinEx released a statement acknowledging the incident. While the precise amount of assets lost remains uncertain, the exchange assured users that their assets are secure and untouched. CoinEx pledged to fully compensate affected parties for any losses stemming from this security breach.
Furthermore, CoinEx committed to delivering a comprehensive report and a detailed timeline of the entire incident. The company has also engaged an investigative team to thoroughly examine the matter, aiming to prevent future security breaches and safeguard user assets.
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