Binance Immediately Identifies KyberSwap Exploit Suspects 

by | Nov 8, 2022 | Binance, News | 0 comments

The top cryptocurrency exchange Binance has identified two suspects who are allegedly responsible for the hack of $265,000 from decentralized exchange (DEX) protocol KyberSwap earlier this week.

Changpeng Zhao (CZ), the CEO of Binance, exposed this information on Twitter recently. The company has shared the info with KyberSwap along with the appropriate law enforcement agencies.

The Attack :

KyberSwap has faced a cyber attack

on September 1. The DEX protocol faced an unhealthy security breach which allowed hackers to steal assets.  It was worth thousands of dollars to users.

According to the project, the bad actors shared malicious code on the protocol’s Google Tag Manager (GTM). It has prompted false approval that allowed them to transact assets in their wallets.

The platform also shared that the hackers smartly launched the bad script. It was targeted to whale wallets on Ethereum and Polygon. Further KyberSwap added that exploited users would be fully compensated.

The hack came to know and immediately stopped within two hours of its launch. The protocol offered that the bad actors would be rewarded with a 15% bug donation if they returned the stolen assets.

Binance As Crypto ‘Big Brother :

Hardly two days after the theft, the Binance investigation team announced that they had been able to track and identify two scammers who are suspected or may be responsible for the hack. The company also noted that they had appointed government authorities in the incident for further investigation.

Similar to KyberSwap, Binance has assisted with several hacked protocols to identify the bad actors along with recovering some stolen assets.

As the biggest crypto exchange by trading volume, the proactive and unselfish efforts of Binance to help investors from other ecosystems weren’t neglected.

As one of the users stated, “Binance is now playing as a big brother in the crypto space. Binance has gone beyond securing its platform to keep the entire crypto ecosystem safe.”

CZ stated that Binance has never been lawfully integrated in China and has never fixed business in a manner compatible with the Chinese organization, Cointelegraph.

Notably, the company succeeded to recover nearly $450,000 stolen from the Defi platform Curve Finance last month. It was reported that the recovered funds were 83% of the total assets exploited from the protocol.  The platform stated that the hackers transferred the assets to the exchange through different techniques. They expected to bypass the firm’s security team.

Since the platform, Binance, continues to make an effort to make the global crypto industry safer for investors and users, some user groups of the crypto community think that the company is now acting as a “big brother” role in the whole crypto market.

According to Changpeng ‘CZ’ Zhao, CEO of Binance, the theft of information had been noted to the Kyber team. Since both sides are eager to catch the hackers, Binance has also begun to work with law enforcement as of the recent information.

Conclusion :

Notably, there have been so many exploits and theft in the crypto market over the past couple of months. Since the market fell and started a crypto winter, bad actors took it as their opportunity. Platforms like Solana, Cardano, etc. have suffered from several exploits. The theft is mainly happening through smartly executed ideas. Phishing scams and fake airdrops are mentionable. Users’ wallets are drained through luring through free tokens. In multiple cases, hacking links are also used as the weapon of scams. Nowadays, Twitter scams are also very famous in the crypto market. Where fake posts and links are circulated through the social media platform. Users are trapped in that kind of scam believing it is real.