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CoinEx Global announces significant losses in suspected hacking. The crypto exchange reported unusual withdrawals, with various tokens redirected to a previously inactive wallet. Investigations are ongoing.
The unusual transferring of tokens took place on Tuesday, Sept. 12. CoinEx said the sudden large outflows to an Ethereum account led security experts to believe that the crypto exchange's system was hacked. Cyvers Alerts blockchain security platform surmised that more or less $27 million was stolen in the breach.
According to CoinTelegraph, the first transfer happened at about 1:21 p.m. UTC. At this time, a known CoinEx hot wallet moved about 4,947 Ether (ETH), valued at $7.9 million, to an Ethereum account, and it was noted that before this transfer, it did not have any single transaction yet.
CoinEx said the transfer of large amounts of tokens immediately follows after the first transaction. The tokens were also sent to the same account. The succeeding transfers include 408,741 Dai (DAI) stablecoin, 2.7 million Graph tokens (GRT), 29,158 Uniswap (UNI), and several others.
A few hours later. CoinEx confirmed the hacking incident through a post on X (Twitter). The cryptocurrency exchange posted a note titled: "Urgent Notice: Security Incident on CoinEx - Immediate Actions Underway."
CoinEx explained, "On September 12, 2023, our Risk Control System detected anomalous withdrawals from several hot wallet addresses used to store CoinEx's exchange assets. Promptly recognizing the gravity of the situation, we immediately established a special investigative team to delve into the matter."
The crypto firm added that initial assessments showed illegal transactions involving $ETH, $TRON, and $MATIC. However, CoinEx said it has yet to determine the exact amount of the loss. It also assured users that the affected fund is just a small portion of the exchange's assets.
CoinEx also asked for consideration from its customers by saying, "We earnestly seek your understanding and patience. Our priority has always been, and will continue to be, the security and trust of our users. We deeply regret any distress this may have caused and assure you of our unwavering dedication to safeguarding your interests."
Photo by: FLY:D/Unsplash
