Over the weekend, a hacker targeted a wallet linked to the Binance deployer, making off with a staggering $27 million worth of Tether (USDT), as reported by blockchain analyst ZachXBT. The stolen funds were promptly converted to Ethereum (ETH) and subsequently transferred to cryptocurrency exchanges FixedFloat and ChangeNow.
Following this, all the funds underwent a bridging process to Bitcoin (BTC) through the THORChain bridge. On-chain data reveals that the victim’s wallet had received Ether from two distinct wallets associated with the Binance deployer back in 2019.
Binance responded to the incident, clarifying that a user had made a valid and authorized withdrawal from their platform. However, the unfortunate compromise occurred in the DeFi wallet that received the withdrawal. Binance’s security team is actively investigating the matter, and the exchange pledged to offer assistance within its scope of control. The deployer wallet, utilized for creating smart contracts, has been inactive since December 2020, raising questions about the nature of the compromise and the lapse in security measures.
THORChain, a decentralized finance (DeFi) platform, has become a recurring focal point for hack-related activities throughout the year. In June, hackers who stole $35 million from Atomic Wallet used THORChain to obscure their illicit gains.
Moreover, last month, THORSwap placed its platform into maintenance mode following a series of trades related to the FTX hack. These incidents underscore the challenges and vulnerabilities faced by DeFi platforms, raising concerns about the security of decentralized ecosystems in the crypto space.