7.5 million dollars lost in Crypto

CoinsPaid has been hacked for the second time in six months. In fact, the digital assets payment company was hacked on January 5th with an estimated $7.5 million worth of cryptocurrency.

Blockchain security firm Syvers attributed the security breach to the platform's inadequate wallet access control measures.

Coins are paid and hacked again

Hackers managed to part with various cryptocurrencies including 4.5 million USDT, 500 ETH, 106,000 USDC, 924,000 BSC-USD, 268.5 BNB and 97 million CPD.

The criminals converted the stolen assets into ETH and transferred them to externally owned accounts on both the Ethereum and BNB chains. They have also invested the funds in several centralized exchanges such as MEXC, ChangeNow and WhiteBit.

The identity of the attackers has not yet been identified. However, Sievers still suspects it could be the legendary Lazarus team.

“The cause of the risk is the lack of adequate wallet controls. In particular, the exchange was previously warned about potential vulnerabilities by Syvers in July 2023, when the Coin Payment System and Alphapo suffered a $100 million theft linked to North Korea's Lazarus group,” Syvers analysts told BeinCrypto.

Read more: Crypto Project Security: A Guide to Early Threat Detection

Unfortunately, this is not the first time CoinsPaid has encountered security breaches. The North Korean-backed Lazarus group of hackers previously targeted Coinspaid in July 2023. At that time, the platform lost about $37.3 million and reported the incident to law enforcement agencies.

The Lazarus Group is a well-known entity responsible for hacking several crypto platforms such as Ronin Bridge, Harmony Bridge, and Atomic Pocket. These attacks resulted in cumulative losses of hundreds of millions of cryptocurrencies.

Crypto exploitation is on the rise.

In the first days of the new year, the cryptocurrency industry has experienced several security problems, with popular projects falling victim to hacks and exploits.

Since the year's crisis, Orbit Chain, a decentralized cross-chain protocol, has suffered a staggering loss of over $81 million. This breach comes as hackers have reached seven out of ten multi-sig signers. Following closely, Radiant Capital lost $4.5 million due to a smart contract breach on January 3rd.

Read more: 5 Major Flaws in Crypto Security and How to Avoid It

The situation continued when Gamma fell victim to a price-fixing attack, resulting in a loss of $4 million. In the year In the opening week of 2024, these events together caused a loss of almost 100 million dollars for crypto projects.