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WazirX Temporarily Suspends Crypto Deposits and Withdrawals After $230M Hack
Indian cryptocurrency exchange Italian: Thursday temporarily suspended withdrawals after being hit by the security breach.
“We are aware that one of our multisig wallets has suffered a security breach. Our team is actively investigating the incident. To ensure the safety of your assets, INR and crypto withdrawals will be temporarily suspended,” WazirX said in a statement.
Multisig wallets are a type of crypto wallet that requires two or more private keys to authenticate and confirm transactions before they are processed.
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WazirX also identified two more exploited smart contracts. Its team is still investigating the incident. “For now, we have opened an isolated website to revoke all approvals. Your funds are at risk until you revoke,” WazirX said on X (formerly known as Twitter).
According to security firm Web3 Cyvers, “multiple suspicious transactions” involving Safe by WazirX have been detected Multisig wallet on Ethereum.
According to their post on X, $234.9 million of funds in the Safe Multisig wallet are believed to have been transferred to a new address, with the caller of each transaction funded by Tornado Cash, a fully decentralized protocol for private transactions on Ethereum.
“The suspicious address has already exchanged $PEPE (Pepe), $GALA (Gala) and $USDT (Tether) for $ETH (Ether) and continues to exchange other digital assets,” Cyvers said.
After the incident, Vikram Subburaj, CEO of Giottus, said, “For people who have funds in WazirX, the best thing to do now is to stay calm and let the WazirX team sort out the issue. Just to reduce panic, please know that your funds in Giottus are SAFE.”
WazirX is popular among Indian traders and primarily caters to the Indian market. It is among the few exchanges registered with the Financial Intelligence Unit (FIU) in the country, allowing it to offer cryptocurrency trading services to Indian citizens.
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