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Leading crypto trading and exchange firm Coinbase had a loophole which discovered and informed by a white hat hacker that prevented any future threat
- Coinbase is an American cryptocurrency and digital assets trading platform and known to be one of the best in the space
- The growing demand and popularity of cryptocurrency lead to more threat possibilities on platforms that trade digital assets.
- Earlier, an Advanced Trading Platform of Coinbase had found a vulnerability but was successful in averting the posed threat
What happened actually?
On 21 January 2022, a white hacker goes by the name ‘tree of alpha,’ asked on Twitter for contact with the Coinbase team. After a while, the crypto trading platform announced its advanced trading platform’s disabling due to technical reasons.
Later on, it came to know that both the incidents were interconnected. Tree of alpha, the white hat hacker, discovered a potential loophole in the advanced trading platform of Coinbase, which may lead to exploitation. But the contact was made between the Coinbase team and the hacker then the exploit was removed with his help.
Tree of alpha’s take on Coinbase advanced trading platform loophole
The hacker stated that the particular bug could make nasty users send Coinbase” all order books to random prices, ultimately which would be a massive loss for the firm and at the same time payday to nasty users.
The advanced trading platform of Coinbase is currently in its testing phase, and it was obvious that it might have bugs and issues to resolve. The team itself and many bounty hackers try to find that vulnerability in these testing phases so that the mainnet operation can run smoothly and safely.
In the end, the issue got resolved
Within two hours of the hacker’s tweet, Coinbase responded quickly and halted operations on the platform. Tree of Alpha appreciated the trading firm’s quick action, and Coinbase CEO Brian Armstrong thanked the hacker for help.
A few hours later, the exploit was patched, and the operation resumed on the platform. The hacker has also shared a screenshot of the patched exploit.
Brian thanked Tree of Alpha for help and started his love for the crypto community that helps each other out like this.
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White hat hackers are have been helping lately
Awhitehatters group, Poly Network Hackers, have proven their good intentions many times. Be it their fix of a flaw for SushiSwap Dex worth $350 million in August last year.
Last Year, a hacker from Poly Network moved $612 million worth of assets but soon returned all the funds after weeks of dialogue; hackers have stated that they did so to teach the network a lesson.
Hackers have been helping the investigation team figure out about exploitation of Wormhole bridge protocol, who’s worth was a massive $320 million.
Nancy J. Allen is a crypto enthusiast, with a major in macroeconomics and minor in business statistics. She believes that cryptocurrencies inspire people to be their own banks, and step aside from traditional monetary exchange systems. She is also intrigued by blockchain technology and its functioning. She frequently researches, and posts content on the top altcoins, their theoretical working principles and technical price predictions.
