The UK-based cryptocurrency exchange, Cashaa, reported that hackers had taken more than 336 Bitcoin. The company has stopped all crypto-related transactions, but prima facia users are not affected by this hack.
In a media file shared with Cointelegraph, Kumar Gaurav, CEO of Cashaa, said that one of their wallets had been compromised and that more than 336 Bitcoin had been sent to the hacker. He also suspects that the hacker is from east of Delhi, India. The company has filed a cybercrime incident report with the Delhi Crime Bureau with the recognition number 20807200031555 in the category of cryptocurrency crimes.
Cashaa suspects that malware has been installed on the computer used to perform exchange transfers such as user withdrawals. The malware informed the hacker when an employee logged into his account at 1:23 p.m. on July 10 and made two transfers from the wallet. Cashaa used a Blockchain.com wallet to store and send BTC. Kumar said to Cointelegraph:
“WE ARE STILL INVESTIGATING THE DAMAGE CAUSED BY THE INCIDENT AND ARE SUSPENDING ALL WITHDRAWALS FOR 24 HOURS. WE CONVENED THE BOARD OF DIRECTORS TO DECIDE IF THE COMPANY WILL BEAR ALL THE LOSSES. “
However, Cashaa’s main concern is not to allow hackers to sell bitcoin on the exchanges. In a tweet, the company also provided the hacker’s bitcoin address (14RYUUaMW1shoxCav4znEh64xnTtL3a2Ek) to track the movement of the stolen funds. By seeing the transaction diagram from the address indicated, the coin mixing software may be used to move the funds and reduce traceability.
Kumar blamed an increase in incidents of hacking on the stock exchanges that support the trade where these hackers can deposit funds. He said:
“Everyone in the crypto industry has to work very hard to provide the same level of security that an average person currently has when processing a bank account. To date, hackers are very confident in hacking cryptographic addresses and moving them via exchanges that facilitate this laundering via their systems. Such exchanges must be closed and the owners of these exchanges should be charged with the offense of facilitating money laundering. ”
Investigative agencies, including the Delhi Police Cybercrime Department, are already on the case. Also, all cryptographic exchanges have been informed of the hacker’s address to block any Bitcoin coming from it.
Fast support for Indian exchanges:
Almost all exchanges have extended their support to Cashaa to monitor addresses and report any suspicious transactions. Kumar said:
“We are pleased that all the major stock exchanges in India like CoinDCX, WazirX, and Bitbns as well as international stock markets like Binance have shown their rapid support. We like to send a strong message to hackers: they can’t just hack bitcoin into thinking they can withdraw money.
Nischal Shetty, founder and CEO of WazirX, an Indian cryptocurrency exchange, told Cointelegraph that “we will help Cashaa in every way and will also work on setting certain security standards for trading.” He said:
“IT IS UNFORTUNATE THAT THERE WAS A HACK. WAZIRX WILL ENSURE THAT WE LOCK ALL FUNDS THAT REACH US FROM THE HACKED WALLET. WE ALSO INFORMED THE BINANCE TEAM. IN ADDITION, AS AN INDUSTRY, WE WORK TO ESTABLISH CERTAIN STANDARDS TO ENSURE THAT EACH EXCHANGE MEETS A GENERAL SET OF SAFETY STANDARDS. THIS WILL HELP PREVENT SUCH INCIDENTS IN THE CRYPTO ECOSYSTEM. “