CoinEx the Target of a 'Major Attack'
$27.8 Million Lost
CoinEX, a popular cryptocurrency exchange, has recently become the target of a major hack, resulting in a loss of over $27.8 million. The attack reportedly affected the exchange's Ethereum, Tron, and Polygon hot wallets.
While CoinEX has not released an official statement regarding the breach, blockchain security firms have alerted them to the suspected hack. One firm, PeckShield, even reached out to CoinEX directly on social media, noting the suspicious outflow of large funds from their hot wallets.
According to Colin Wu, a well-known crypto journalist, CoinEX is believed to be transferring the assets from the affected wallets to a cold wallet with the address 0xf54…7E5d. Wu's report reveals that CoinEX currently holds $97.83 million in assets, with the majority stored in the cold wallet, including ETH worth $51.7 million and USDT worth $18.23 million.
Meanwhile, users on social media have started urging customers to withdraw their funds from the exchange. However, CoinEX has disabled deposits and withdrawals on its platform, attributing the halt to "wallet maintenance."
The hack has raised suspicion among members of the crypto community. Julian Moreno, the head of research at CryptoQuant, pointed out the unusual depletion of CoinEX's ETH reserves over the past few months. Approximately 5,000 ETH was transferred during the latest attack, adding to the 40,000 ETH that has been moved since May 2023. Moreno's observations have prompted questions about the nature of the hack.
This is not the first time CoinEX has fallen victim to an exploit. In 2014, the exchange experienced a cyberattack that resulted in the loss of all its Bitcoin holdings. The recent breach has once again highlighted the importance of robust cybersecurity measures in the cryptocurrency industry.
As of now, blockchain security firms have not provided a detailed analysis of the hack. It remains unclear how the attack occurred and whether any user funds were affected. CoinEX is expected to release an official statement in the coming days
The incident serves as a reminder for cryptocurrency users to exercise caution when entrusting their assets to any exchange. It is crucial to choose a reputable platform with strong security measures in place. Additionally, individuals should consider utilizing cold wallets for long-term storage to minimize the risk of a potential hack.
The cryptocurrency market cap currently stands at $1.022 trillion, indicating the continued growth and interest in digital assets. However, incidents like the CoinEX hack underscore the need for enhanced security measures within the industry to protect user funds and maintain investor confidence.