Axie Infinity Co-Founder’s Wallets Hacked, Resulting in $9.7 Million Ether Theft
Jeff “Jihoz” Zirlin, co-founder of Axie Infinity and its Ronin sidechain network, recently revealed that his personal crypto wallets were hacked. This breach led to the theft of approximately $9.7 million worth of ether. Here are the key details:
TLDR
- Zirlin’s personal crypto wallets were hacked, resulting in the theft of $9.7 million worth of ether.
- The hack only affected Zirlin’s personal accounts and was unrelated to Axie Infinity or Ronin Network operations.
- The hacker stole 3,248 ETH from a “whale wallet” and used Tornado Cash to mix the funds.
- Details about how the hacker gained access to Zirlin’s wallets are still unclear.
- Crypto hacks and scams decreased by 28% in 2023 but still amounted to $2.6 billion in losses.
Zirlin confirmed the hack on Twitter, stating that two of his wallet addresses were compromised. He emphasized that Axie Infinity, Ronin, and Sky Mavis were not involved in the security incident. Zirlin assured followers that the Ronin chain’s operations remained secure despite this personal setback.
PeckShield, a blockchain investigator, tracked the stolen funds and discovered that 3,248 ETH was taken from a whale-sized wallet on Ronin Bridge that held Zirlin’s assets. The hacker then used Tornado Cash to split and anonymize the ether, making it challenging to trace or recover.
This incident highlights ongoing security threats in the cryptocurrency industry, despite a decline in hacking activity. While the total number of hacks decreased in 2023, losses still amounted to $2.6 billion. Zirlin’s experience serves as a reminder of the risks associated with managing digital assets and the importance of robust security measures.
Hot Take: Crypto Security Remains a Priority
The recent hack targeting Jeff Zirlin’s personal crypto wallets underscores the need for heightened security measures in the cryptocurrency space. Here’s what you should take away from this incident:
Crypto Hacks Are Decreasing, But Still a Concern
- Hacking incidents in the crypto industry dropped by 28% in 2023.
- However, losses from hacks and scams still amounted to $2.6 billion.
The Importance of Secure Wallet Practices
- Even industry veterans like Zirlin can fall victim to wallet hacks.
- Cryptocurrency custodial practices remain risky and require constant vigilance.
The Impact of Anonymizing Tools
- The hacker used Tornado Cash, a crypto mixer, to obfuscate the stolen funds.
- This makes it difficult for law enforcement agencies to trace and recover the funds.
As a crypto enthusiast, it’s crucial to prioritize security when managing your digital assets. Stay updated on best practices and be vigilant against potential threats to protect your investments.
By
By
By
By
By