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Largest Multichain Hack: Crypto Platform Hit

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ByEsme Greene

Jul 30, 2023
Largest Multichain Hack: Crypto Platform Hit
Esme Greene
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Multichain, a leading cryptocurrency transfer platform between blockchains, has been forced to suspend its operations following a significant cyberattack resulting in the theft of approximately $125 million worth of cryptocurrency.

Suspension and Stolen Funds Recovery Efforts

After noticing abnormal movement of assets to an unknown address, Multichain promptly halted all services and restricted transactions across bridges. The company’s website assured users that stolen funds would be returned. However, it’s worth noting that a statement disassociating the platform from the website was made on Multichain’s official Telegram channel, raising doubts about its legitimacy.

Various blockchain security researchers, including MetaSleuth and PeckShield, estimated that the stolen assets, consisting of stable coins like USDT and USDC, as well as ETH and Bitcoin, amounted to over $120 million. Speculations emerged suggesting the possibility of a white-hat hacker conducting a security test, although the veracity of these claims remains uncertain.

Bridging Attacks: A Growing Trend

Multichain’s incident highlights the ongoing attractiveness of blockchain bridges as lucrative targets for hackers. Recent reports from PeckShield revealed that a staggering $1.92 billion has been stolen over the past three years from blockchain bridges. Notable past attacks include Ronin Network and Poly Network, where thefts exceeded $600 million and $320 million, respectively. Lazarus, a well-known North Korean hacking group, has been linked to several of these attacks, allegedly using the stolen funds to finance their nuclear program.

While no further updates have been released by Multichain at this time, the cyber incident represents a severe blow to the platform. Previous operational issues and temporary suspensions have plagued Multichain, but this incident marks the first complete halt of operations. As hackers continue to target bridges, it is imperative for platforms like Multichain to prioritize and strengthen their security measures to safeguard user funds and restore trust in the cryptocurrency ecosystem.

 
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Esme Greene

Esme brings a wealth of knowledge and experience to our website, specializing in all aspects of DarkWeb security. With a deep understanding of the intricate workings of the DarkWeb and its associated cybersecurity risks, Esme curates insightful and informative content for our readers.