Crypto.com hack – 400 accounts were compromised confirms CEO Kris Marszalek

Crypto.com hack - 400 accounts were compromised confirms CEO Kris Marszalek
Crypto.com CEO Kris Marszalek confirmed that hackers compromised 400 accounts. Credit: Photo by Seb Daly / RISE via Flickr

Key Takeaways

  • Crypto.com CEO Kris Marszalek confirmed today that hackers compromised 400 accounts on the exchange
  • Recently a security breach on the exchange resulted in a loss amounting to millions

YEREVAN (CoinChapter.com)- Recently, Coinchapter reported on the security breach that hit the Singapore-based cryptocurrency exchange Crypto.com. CEO Kris Marszalek confirmed earlier today that 400 accounts were compromised in the Crypto.com hack. Marszalek was giving an exclusive interview to Bloomberg TV when he made the claim about the CRO hack.

“In this particular incident, some of these layers were breached, which resulted in about 400 accounts having unauthorized transactions,”  

he confirmed. 

However, Marszalek also stated that they have since refunded all the affected accounts after detecting the hack at a very early stage. Thanks to their swift action, customers did not suffer any permanent losses. 

“We very quickly stopped it, we paused withdrawals, we fixed it. We were back online in about 13/14 hours and during the same day, all the accounts that were affected very fully reimbursed, so there was no loss of customer funds,” 

Marszalek claimed.

Recommended: Crypto.com (CRO) hacked, halts withdrawal citing “suspicious activity”

What do we know about the Crypto.com hack? 

On Monday, the official Twitter handle of Crypto.com put out a notice informing that they would be temporarily pausing withdrawals on the platform. The reason, according to them, was a reported suspicious activity on the accounts of some users.

“We have a small number of users reporting suspicious activity on their accounts. We will be pausing withdrawals shortly, as our team is investigating. All funds are safe,” 

the tweet read. 

Sure enough, several angry users quickly began reporting on their losses following the Crypto.com hack.

“I had over 24 ETH stolen. What happens now? The 2FA was done but still, it’s almost all gone! Please help!!,”

 one user wrote.

Others also complained about stolen Bitcoins (BTC) and several altcoins. Within hours, the exchange had dealt with the breach and the platform was back up running again.

Recommended: Crypto.com lost $18.82 million worth of Bitcoin in the latest hack, alleges analysts

How much did hackers steal from Crypto.com?

While the exact amount of stolen funds remains unknown, analysts estimate the number can be at least $33 million.

Initial reports by Peckshield suggested that Crypto.com lost $15 million of funds in Ethereum (ETH) alone. According to the China-based blockchain security firm, hackers used ETH mixer protocol Tornado Cash to anonymously transfer the 4.6,000 stolen ETH.

However, hours later, cryptocurrency analyst Ergo claimed the exchange could have lost an additional 444 BTC in the hack. In fiat currency, that amounts to over $18.5 million. Along with the stolen ETH reported earlier, this takes the total funds stolen in the Crypto.com hack to at least $33 million.

Meanwhile, Marszalek did not give any specifications about the stolen funds and claimed they will share a full post mortem report after they complete the internal investigation on the CRO hack.

“We are still working on a post mortem for the incident and it’s going to be posted on our blog in the next couple of days, so I’ll leave the final numbers to that blog post.” 

 he said.

While the users of the platform received the news with enthusiasm, we will wait for Crypto.com to publish the final numbers. 

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Crypto.com hack, Crypto.com hack – 400 accounts were compromised confirms CEO Kris Marszalek

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