LCX loses $6.8M in a hot wallet compromise over Ethereum blockchain

PeckShields examination revealed that LCX had actually lost $6.8 million cumulatively after the hacker successfully transferred eight types tokens, including Quant (QNT), Chainlink( LINK), Enjin Coins (ENJ), and Maker (MKR).

Cointelegraph has yet to receive a reaction from LCX on its ask for remark.

” During this hard time, we considerably value your assistance from our customers and other exchanges, security experts, in addition to the broader crypto neighborhood.”

Details about the theft of funds from LCX. Source: PeckShield.

The exchange rapidly verified the hot wallet compromise when it announced that lots of tokens, including ETH and USD Coin (USDC), were lost. This includes its own LCX token.

PeckShield, a security company that focuses on blockchain innovation, first discovered the hack by examining suspicious transfers of ERC-20 tokens (from LXC) to an unknown Ethereum wallet (ETH).

LCX did not share any plans to return the funds at the time of writing. The company verified that it will take security measures to secure other properties and wallets.

After briefly suspending withdrawals and deposits, the Liechtenstein-based crypto platform LCX validated that a person of its hot wallets had actually been jeopardized.

Hot wallet taken? @lcx https://t.co/uL5a7oCFfM
— PeckShield Inc., (@peckshield), January 9, 2022

Ethereum blockchain based assets such as ETH, USDC, EURe, LCX and other assets have been relocated to the Hacker ETH Wallet: 0x165402279F2C081C54B00f0E08812F3fd4560A05 2/3
— LCX (@lcx), January 9, 2022

Comparable: ImmuneFi reports $10B in DeFi hacks losses and gains across 2021

According to a recent report by security platform ImmuneFi, crypto business suffered losses exceeding $10.2 billion due to hacks and scams in 2021.

Cointelegraph reported that ImmuneFi found 120 circumstances of crypto exploits or rug-pulls. The highest-valued hack was Poly Network, valued at $613 million. Venus and BitMart, with $200 million each, were next.
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