Kyber Network Neutralizes Hack Attack, Indemnifies Victimized Wallets

Kyber Network, a decentralized bourse platform, suffered a hack from an unidentified source last week. The team at Kyber was able to eliminate the threat in two hours. The wallet that got hacked during the hit got reimbursed. 

Kyber Suffers Front End Hack

September 1st ushered in a malicious attack on Kyber Network. The liquidity platform behind the operation of KyberSwap got hacked on its front end. This led to two wallets getting compromised and the one losing all its assets. 

Afterward, the Kyber team realized the cyberpunk gained entry into their system through an altered frontend code written on the Google Tag Manager script. The hackers had modified the GTM script using their codes, causing users to authorize the transfer of their funds without detecting foul play in progress. A sum of $265,000 got siphoned from the reached wallet.

Furthermore, Kyber continued about how the phisher had secretly inserted the script into Ether and Polygon networks so that whale addresses could get attacked. 

The bourse promised to refund the users affected by the attack. Also, it went ahead to put out a bounty of 15% take away from the stolen fund on the hackers, and at the same time, tried to reach out to them to make a deal. 

Not long after Kyber took steps to apprehend the hackers responsible for the attack on it, Binance located two potential suspects of the invasion and released information about them to the firm. It also reported them to relevant authorities that have now taken investigative action into the case. 

Kyber Updates About The Attack 

The Exchange announced through a published article that its UI, and the KyberSwap website, were now secured. It further informed the community not to worry about the incident as everything was under control. Victims of the attack whose wallets got infringed have been compensated for their loss accordingly. 

A piece of interim information from the platform stated that just two wallets got hacked. They paid the one whose funds got carted away, while the other didn’t lose any money. And this is because the latter withdrew consent to the devious script after initially authorizing it. 

Other than these two identified addresses, none else was affected. The threat was countered and averted within two hours before they did more damage. 

After the attack, Kyber revamped the security of its network to avoid future recurrence. Also, the decentralized finance bourse has partnered with leading exchanges, law enforcement authorities, and experienced security agencies in the space to find the hackers. Thus, in hopes of recovering everything they took. 

The exchange declared it would provide more information on the attack and the criminals behind it soon as they get them. 

In a year, malicious attacks on crypto exchanges have risen by eightfold. A report confirmed a loss of almost $1.4 billion in crypto since January. Due to this, exchanges are tightening up on security to keep safe from such hits.

Also, the Federal Bureau of Investigation warns investors to be careful while investing in digital assets.