The crypto space is no stranger to hacks and security breaches. Crypto.com is the latest victim here. Fresh reports suggest that hackers may have siphoned off $15 million worth of Ethereum [ETH] tokens from popular cryptocurrency exchange Crypto.com.
After observing reports from users of “unauthorized activity,” the Crypto.com team announced suspending withdrawals on its platform on January 17th. Shortly thereafter, withdrawals were also paused. Kris Marszalek, the CEO of the Singapore-based firm announced via Twitter that no user funds were lost. He also revealed that Crypto.com took 14 hours to resume withdrawals and ensured that the team has “hardened the infrastructure in response to the incident.”
While no official confirmation on the losses has been made public so far, blockchain security and data analytics company PeckShield claimed that half of the stolen crypto is currently being laundered using Ethereum-based coin mixing solution Tornado Cash. Its tweet regarding the same read
“The Crypto.com loss is about $15M with at least 4.6K ETHs and half of them are currently being washed via Tornado Cash.”
Previously, a Twitter user and a crypto enthusiast, Ben Baller revealed that his account was breached and he lost 4.28 ETH. Baller also claimed to have used two-factor authentication [2FA]. A few hours later, the user updated the community that Crypto.com had replaced the missing funds from his wallet.
BIG UPDATE FROM @cryptocom
They have restored my missing funds. THANK YOU FOR BEING A SOLID CRYPTO APP!
— BEN BALLER™ (@BENBALLER) January 17, 2022
The latest incident comes in the heels of Crypto.com expanding its venture arm’s fund size to $500 million. According to reports, the fund will engage in seed and series-A deals, for approximately $10 million checks for the series-A.
The firm had launched unveiled its maiden fund of $200 million in March last year. So far, the initial fund was deployed to support around 20 startups such as YGG SEA, multi-chain crypto portfolio tracker DeBank, cross-chain token infrastructure Efinity and Ethereum scaling service Matter Labs.
AFL-Crypto.com’s Five-Year Partnership
In yet another development, the Australian Football League [AFL] announced forging a five-year partnership with Crypto.com. As per reports, the exchange will become the Official Cryptocurrency Exchange and Official Cryptocurrency Trading Platform of AFL and AFLW. In addition to that, Crypto.com will also feature as the exclusive naming rights partner of the ‘Crypto.com AFL Score Review’ for all Toyota AFL Premiership Season as well as Final Series matches.
AFL chief executive Gillon McLachlan was quoted saying,
“Cryptocurrency and blockchain technology is a dynamic and emerging industry, and the AFL is delighted to partner with Crypto.com to be at the forefront of the industry’s growth in Australia.”