The world of cryptocurrency has experienced a tumultuous week, marked by a series of cyberattacks that have exploited various vulnerabilities within the ecosystem. From breaches in decentralized exchanges and hardware wallets to compromised social media profiles and blockchain networks, it is evident that there are significant security challenges that need to be addressed. This article delves into these recent incidents, shedding light on the persistent threats in the crypto sphere.
Clober DEX Exploit on Base Network
One of the most alarming incidents was the reentrancy attack targeting Clober’s decentralized exchange liquidity vault on the Base Network. The attackers exploited the Rebalancer smart contract’s _burn() method, making away with 133.7 ETH, valued at over $501,000. Although no monetary losses were reported, the Cardano Foundation’s official X account was also hacked, leading to unauthorized posts. This incident underscores the vulnerabilities of social media accounts linked to crypto projects, prompting the foundation to urge followers to disregard any suspicious activity from the compromised account.
Hack of Ledger Nano S Sparks Discussion
In another unsettling event, a Reddit user reported that hackers had stolen $2.5 million in digital assets, including 10 Bitcoin and $1.5 million in NFTs, from their Ledger Nano S hardware wallet. Despite encrypting the seed phrase and avoiding unsafe transactions, the user noted that the breach occurred after the wallet had been idle for two months. Ledger’s CTO, Charles Guillemet, emphasized the ongoing threat of phishing scams and advised users to remain vigilant, reiterating that the company never requests private account information.
Major Attack on the Dogecoin Network Shatters Nodes
The Dogecoin network faced a significant attack when a hacker exploited a vulnerability known as “DogeReaper,” resulting in 69% of active nodes ceasing operation. The attack targeted older node versions, reducing the number of active nodes from 647 to 205 before a partial recovery to 331. Although centralized exchanges and custodians were not affected, this attack revealed critical weaknesses in the decentralization and resilience of the Dogecoin network.
Gate.io Blocked in India
In regulatory developments, the Indian government has blocked access to the Gate.io cryptocurrency exchange, affecting a substantial number of users. The exchange has yet to release an official statement regarding the shutdown. This action highlights the increasing regulatory scrutiny in India, which could pose challenges to cryptocurrency trading for its citizens.
WallStreetBets X Account Hack
The WallStreetBets X account was compromised, resulting in the theft of approximately $2.2 million in meme coins, including $1.43 million in PNUT tokens, $400,000 in ZEREBRO tokens, and $130,000 in ALCH tokens. The breach exploited passkey weaknesses in the mobile app of X, serving as a cautionary tale about the risks associated with clicking on dubious links, particularly those promising deals that seem too good to be true.
Stay informed with our ongoing coverage of cyber threats in the crypto world as we continue to monitor and report on new developments.
