Crypto News – More than $86.6 million in digital assets were transferred from the HECO Chain Bridge to addresses that raised red flags, according to PeckShield.
Tron Crypto Founder Justin Sun Admits $86 Million Vulnerability
According to the blockchain security company, the transaction was started by the operator, suggesting that the operator may have been compromised and the bridge may have been compromised.
PeckShield initially alerted the public to the strange transactions, pointing out that 10,145 Ether, worth around $19 million, had been transferred off the bridge. A series of transactions followed, entailing the transfer of many digital assets to distinct addresses, including USDC, Chainlink, Shiba Inu, and others.
Sun Says Withdrawals and Deposits Suspended for a Period of Time
On the other hand, assuring the community that the cryptocurrency exchange would completely compensate consumers for any losses brought on by the breach, Tron founder Justin Sun acknowledged the attack on the HTX and HECO cross-chain bridge. The exchange has put a temporary stop on deposits and withdrawals in reaction to the probe.
When the investigation is over, Sun said, services will resume. The executive further stated that the cryptocurrency exchange intends to compensate for any damages incurred from its hot wallet and that the funds in HTX are protected.
HTX and Heco Cross-Chain Bridge Undergo Hacker Attack. HTX Will Fully Compensate for HTX’s hot wallet Losses. Deposits and Withdrawals Temporarily Suspended. All Funds in HTX Are Secure, and the Community Can Rest Assured. We are investigating the specific reasons for the hacker attack. Once we complete the investigation and identify the cause, we will resume services.
Sun
Sun’s Name Has Previously Been Linked to Security Breaches
On December 21, 2020, the HTX Eco Chain (HECO) was formally introduced. Its features included an improved cross-chain user experience, cheap gas taxes, and great performance. The bridge ecosystems of Tron and BitTorrent came together to form this endeavor, and in October 2022, Sun combined both ecosystems into HECO. The creators’ long-term endeavor to connect many blockchain networks was reflected in the Tron Heco merger.
In the meantime, this is the second exploit using a Sun-related initiative, thanks to the previous compromise on the HECO Chain. On November 10, a $125 million exploit was discovered on Poloniex, an exchange that Sun purchased in 2018. Security experts speculate that the event might have been caused by a private key breach. Poloniex revealed last week that it has partnered with a top security auditing company in the market and that it has made significant progress toward restoration.
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