Renowned American investor and owner of the Dallas Mavericks basketball team, Mark Cuban, has fallen victim to a cryptocurrency-related hack, resulting in the loss of approximately $870,000 worth of Ethereum (ETH), USDC, and MATIC tokens in a recent exploit.
The initial alert regarding this incident came from a prominent blockchain analyst known as Wazz, who highlighted unusual activity associated with an address labeled “Mark Cuban 2” around 23:00 (UTC). This address had been dormant for 160 days but suddenly began moving its assets.
The first notable transaction involved the transfer of $175,000 worth of USDC to an Ethereum wallet at 22:55 (UTC), with the receiving wallet tagged as “Mark Cuban Hacker.”
Following this significant outflow of USDC, a series of rapid transfers occurred within minutes. The movement of assets included 4,337 ENS, 4,859 USDT, 7,020 RARI, 12,354 MATIC, 338 stETH, 5.29 ETH, 697,000 RARE, and various other tokens. The swift nature of these transfers raised suspicions of a potential hack.
However, Wazz later speculated that his initial suspicions might have been incorrect when he noticed that Mark Cuban had moved $2 million worth of USDC to a separate address.
Nonetheless, Cuban confirmed the hack in a statement provided to media outlet DL News. Reportedly, the billionaire investor became aware of the exploit and managed to secure a portion of his funds. Chinese reporter Colin Wu reported that Cuban successfully recovered $3 million worth of USDC, transferring it to Coinbase.
As of the current press time, Cuban’s wallet holds a modest balance of $6,368. In contrast, the hacker’s wallet contains approximately $871,000 worth of various assets, including $188,000 in ETH and $554,000 in stETH. The hacker promptly swapped the $175,000 worth of USDC to wETH after the exploit.
Possible Cause and Response
Cuban explained to DL News that he suspects the hackers had been monitoring his activity and noticed when he accessed his MetaMask wallet after a period of inactivity. This realization led him to discover the compromise.
Cuban candidly admitted that the hack may have been facilitated by a fake MetaMask application he inadvertently downloaded. He stated, “I’m pretty sure I downloaded a version of MetaMask with some shit in it.” This admission aligns with suspicions within the cryptocurrency community.
This incident joins a series of recent hacks and exploits within the cryptocurrency space over the past few months. Notably, investors recently fell victim to a phishing scam involving Ethereum founder Vitalik Buterin’s hacked X account, resulting in the loss of nearly $700,000.
Additionally, entities such as Atomic Wallet, CoinEX, and Stake have faced high-profile hacks, resulting in losses totaling $270 million over a span of 102 days. Investigations have linked some of these hacks to North Korea’s Lazarus Group.
The incident underscores the ongoing challenges and risks associated with cryptocurrency holdings and the importance of maintaining secure practices and vigilant awareness in the digital asset space.