- November 2023 has witnessed a significant increase in cryptocurrency hacks, with five major projects losing over $290 million due to cyberattacks and scams.
- These incidents have raised serious concerns about the security of digital assets and the need for stronger protective measures in the crypto industry.
A Troubling Month for Cryptocurrency Security
November 2023 is shaping up to be a challenging month in the cryptocurrency world, marked by a series of high-profile hacking incidents. In just 20 days, five major crypto projects have been targeted by cyberattacks and scams, leading to collective losses of over $290 million. This disturbing trend highlights the vulnerabilities and security challenges facing digital assets.
Kronos Research suffered a significant breach on November 19, losing $25.65 million in crypto assets. Hackers exploited specific application programming interface (API) keys, leading to the theft of 24.57 million USDT, 488.7 ETH, and 125,056 USDC. The stolen funds were converted into Ethereum and dispersed across multiple wallets.
KyberSwap, a decentralized exchange, experienced a $46 million exploit on November 23, affecting its KyberSwap Elastic service. The exchange promptly alerted users on social media to withdraw their funds due to the targeted attack.
On November 10, Poloniex was hit by a cyberattack resulting in a loss of $118 million. Justin Sun, the founder of Tron, confirmed the incident and pledged to reimburse affected users. The security breach, likely caused by a private key compromise, prompted the disabling of the impacted wallet.
HECO Bridge encountered a security breach on November 22, with $86.6 million moved from its account to an unknown address. The suspicious transaction was detected by Cyvers Alerts, which utilizes AI technology for on-chain security monitoring.
HTX Exchange (formerly Huobi Global) also fell victim to a hack on November 22, losing $13.6 million. The breach involved three compromised hot wallets, leading to the loss of various coins and tokens, including ETH, USDT, USDC, and LINK.
Escalating Security Concerns
The increasing frequency and severity of these crypto hacks have triggered alarm bells about the security infrastructure in the cryptocurrency sector. November’s incidents underscore the ongoing threats and emphasize the critical need for improved security measures to protect digital assets. As the industry confronts these challenges, a heightened focus on security and vigilance is essential to safeguard against the persistent risk of cybercrime.