Crypto Exchange GDAC Hit With Cyber Attack, Loses 23% Assets
• South Korean crypto exchange GDAC suffered a cyber attack resulting in the loss of 23% of total custodial assets.
• The hacker transferred multiple crypto assets, including 60.8 Bitcoin, 350.5 Ethereum, 220,000 USDT and 10 million WEMIX tokens.
• GDAC is currently collaborating with South Korean Police and security authorities to help recover the stolen funds.
GDAC Hit With Cyber Attack
In the early hours of Sunday, South Korean crypto exchange GDAC hit a cyber attack resulting in losses of 23% of the exchange’s total custodial assets. The hacker transferred multiple crypto assets from the exchange’s hot wallet to an unknown wallet address, the firm revealed on April 10 on its website.
GDAC’s Emergency Response
Following identifying the breach, GDAC immediately paused withdrawals and deposits while disabling its wallet’s servers. And the exchange is now collaborating with South Korean Police and security authorities to help the firm regain stolen funds. Stolen digital assets include a collection of 60.8 Bitcoin, 350.5 Ethereum, 220,000 USDT, and 10 million WEMIX tokens, the native token of the GDAC exchange. According to current market prices, stolen crypto funds are worth above $14.2 million.
Security Risks Of Hot Wallets
A hot wallet refers to storage that is linked to internet so crypto exchange users can trade or withdraw available funds at any time but comes with more security risks than cold wallets which keep funds offline and secure. A security breach into an exchange’s hot wallet often results in depositors and victim exchanges suffering heavy financial losses for both parties involved..
GDAC’s Cooperation With Authorities
The exchange reported the hack to Korea Financial Intelligent Unit (FIU) and Korea Internet Security Agency (KISA) seeking a cyber investigation from authorities in order to resolve issue as quickly as possible . Additionally GDAC expects digital asset issuers , exchanges , DeFi managers to cooperate by confiscating suspicious fund transfers related to hack said Exchange CEO Seunghwan Han in blog post .
Hacker Moves Funds To Tornado Cash
Contrary to ongoing efforts made by GDAC , blockchain security firm revealed hacker already swapped stolen USDT for Ethereum . According to report from Crypto market intelligence firm Arkham bad actor moved 461 Ethereum privacy tool Tornado cash mixer banned by US Authorities . In GDAC exploit depositors faced extensive losses as $10 million WEMIX tokens among stolen Crypto Asset hacker transferred