27 Million USDT Stablecoin Hack Attack on Binance Deployer Account
An alleged $27 million USDT stablecoin hack attack was reported on a crypto address connected to the Binance Deployer account. The stolen funds were initially exchanged for Ethereum and then moved to Bitcoin using the Thorchain interoperability infrastructure. Although this is a relatively small amount for Binance, it still raises concerns about the exchange’s security and damages its reputation.
Stablecoin Hack: Binance Deployer Account Targeted
On November 12, user ZachXBT spotted a suspicious transaction flow that allegedly resulted in a $27 million USDT stablecoin hack. It was revealed that the affected address had connections to the hot wallet of Binance Deployer, which issues smart contracts on the BNB chain. Fortunately, the compromised address is a secondary artery of Binance, separate from its cold wallets.
The hacker quickly converted the stolen funds to ETH and used various mixing protocols to cover their tracks before transferring the sum to Bitcoin through Thorchain. This loss has negatively impacted Binance’s security standards and user confidence, although no official statement has been made by the exchange.
Recent Poloniex Exchange Hack
In a separate incident, Poloniex suffered a hack attack resulting in $125 million in stolen funds across different cryptocurrencies. Justin Sun offered a 5% bounty to the hacker for returning the funds before involving law enforcement. Additionally, Arkham Intelligence offered a bounty for information leading to the attacker’s identity.
Hot Take: Crypto Exchange Vulnerabilities
The recent hack attacks on Binance and Poloniex highlight the vulnerabilities of crypto platforms and indicate a resurgence of hacking trends in 2023. The manner in which these hacks were carried out demonstrates various aspects of cryptocurrency censorship and privacy concerns, raising questions about how hackers typically operate after stealing cryptocurrencies.
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