WazirX, one of India's leading cryptocurrency exchanges, suffered a major security breach that resulted in a loss of $235 million.
Indian Crypto Exchange WazirX Became Victim of $235 Million Hack
The exchange's Secure Multisig wallet on the Ethereum blockchain was compromised and the stolen funds were then converted to Ethereum.
Web3 security firm Cyvers Alert announced the incident on Twitter on July 18, stating that it detected “multiple suspicious transactions” involving WazirX's Safe Multisig wallet.
According to Cyvers Alert, approximately $234.9 million worth of funds were transferred to a new address, and each transaction was funded by Tornado Cash, a decentralized protocol known for enabling private transactions.
Hackers quickly converted the stolen assets, which included Tether (USDT), Pepe (PEPE), and Gala (GALA), into Ethereum.
WazirX has yet to issue an official response to the hack or provide details on how it plans to address the security breach and possible compensation for affected users.
The incident raises significant concerns about the security measures implemented in cryptocurrency exchanges and the increasing sophistication of cyber attacks in the Web3 space.
Following the incident, WazirX's native token, WRX, dropped by 10 percent.
*This is not investment advice.