Reports have emerged pointing to a possible security breach in Coinex’s hot wallets, raising concerns of a potential hack. Blockchain security and data analytics firm Peckshield observed a troubling pattern of unusual outflows from addresses linked to Coinex. These reports allege that approximately $28 million has disappeared from these accounts.
The Suspected Hack
On Tuesday, September 12, 2023, troubling news surfaced suggesting that Coinex may have fallen victim to a security breach involving various crypto assets, including ETH, MATIC, and TRX. The estimated loss is a staggering $27.8 million.
Adding to the intrigue, Peckshield, a blockchain security firm, issued a warning to Coinex on the same day, alerting them to suspicious outflows of significant funds from their hot wallets.
Despite multiple reports of on-chain activity indicating a potential breach, Coinex has remained silent on the matter as of 1:00 p.m. Eastern Time on Tuesday. Coinex is a well-known global cryptocurrency exchange, founded in December 2017, headquartered in Hong Kong, and created by Haipo Yang, a prominent figure in the crypto industry.
Following the incident, a substantial amount of TRX and ETH, along with other tokens like GRT, DAI, and UNI, were drained from the wallet. It is expected that the total funds lost could surpass the initial estimate of $28 million once the issue is thoroughly investigated. Notably, on-chain data traced the large outflows to an address with no prior transaction history.
This is an evolving story, and updates will be provided as more information becomes available. The crypto community is closely watching to see how Coinex addresses this potential security breach and its impact on users and the broader industry.
Security breaches in the cryptocurrency space continue to be a significant concern, emphasizing the need for robust security measures and proactive responses to protect digital assets.