Home
News
- 1 HTX HECO bridge has been subjected to a massive hacking attack that caused it a loss of $83 Million.
- 2 The orchestrated exploit began with the first outflow from the HECO bridge, involving 10,145 ETH valued at $20.4 Million.
In a devastating development within the cryptocurrency realm, the HECO bridge associated with Justin Sun’s HTX (formerly Huobi) has fallen prey to a substantial hack, resulting in a staggering loss exceeding $83 Million across various crypto assets.
The exploit, notably involving 346 Billion Shiba Inu tokens, raised concerns as on-chain analytical systems detected suspicious movements originating from the HECO cross-chain bridge.
Founder of HTX, Justin Sun, promptly confirmed the hack via a post on X (formerly Twitter), assuring users that the exchange would cover any losses incurred in the compromised hot wallet. Interestingly, the official HTX account on X is yet to release an official statement on the incident.
Instead, the team opted to communicate updates through their official Telegram account, where they announced a temporary suspension of deposits and withdrawals.
While Sun emphasized that the recent events would not impact customers’ funds on HTX, he conveyed that the HTX team is actively investigating the exploit. Normal services, including deposits and withdrawals, are expected to resume once the thorough investigation concludes, providing users with added assurance.
A comprehensive breakdown of the hack, shared by on-chain surveillance resource Lookonchain, detailed the perpetrators’ success in making away with $83.4 Million across eight distinct crypto assets.
The orchestrated exploit began with the first outflow from the HECO bridge, involving 10,145 ETH valued at $20.4 Million. Subsequent transactions included a $42.1 Million withdrawal in USDT and an extraordinary outflow of 346.8 Billion Shiba Inu tokens, alongside other assets.
The amassed stolen assets were systematically channeled to a central address linked to the hacker. Intriguingly, the hacker then proceeded to convert these assets into 41,434 Ethereum, strategically distributing them across various addresses to obfuscate their trail. This complex series of maneuvers highlights the sophistication of the attackers and the challenges faced by platforms in safeguarding digital assets.
Notably, this incident marks the third exploit involving entities associated with Justin Sun in the past two months. In late September, Sun’s HTX exchange experienced a hack resulting in an $8 Million loss.
Additionally, Poloniex, a prominent exchange in which Sun holds a majority stake, fell victim to an exploit on Nov. 10, leading to the movement of $120 Million worth of various assets. Sun subsequently issued a seven-day ultimatum for the return of the funds, offering $10 Million, or else authorities would be involved.
As the ultimatum in the earlier exploit case is yet to expire, and the funds remain unrecovered, the recent hack on the HTX HECO bridge adds another layer of complexity to the security challenges faced by the cryptocurrency industry.
The ongoing investigations and subsequent actions taken by HTX will undoubtedly influence the broader narrative surrounding digital asset security.
As the cryptocurrency landscape continues to grapple with evolving security threats, the latest exploit serves as a stark reminder of the vulnerabilities inherent in cross-chain platforms.
Observers within the industry will keenly monitor how HTX addresses the aftermath of this incident, with potential implications for the broader industry’s security protocols and risk management strategies.
Steefan George is a crypto and blockchain enthusiast, with a remarkable grasp on market and technology. Having a graduate degree in computer science and an MBA in BFSI, he is an excellent technology writer at The Coin Republic. He is passionate about getting a billion of the human population onto Web3. His principle is to write like “explaining to a 6-year old”, so that a layman can learn the potential of, and get benefitted from this revolutionary technology.
