LCX Loses $ 8 Million in Hot Wallet Hack

Cryptocurrency exchange LCX fell victim to a hack over the weekend that drained it of nearly $ 8 million worth of digital assets. The hacker managed to compromise one of the exchange's hot wallets on the Ethereum (ETH) blockchain, stealing large amounts of ETH, USD coin (USDC), EURe, and SAND Token. “At 11:23 PM CET on January 9, 2022, the LCX technology team detected unauthorized access to a cryptocurrency wallet. A total of approximately USD 7.94M worth of cryptocurrencies was stolen. 0.7M USD was frozen, "the exchange detailed in a report. The exchange has not yet disclosed plans for any kind of reimbursement, but insisted it would "do everything in its power to mitigate the impact of this incident and restore full service as soon as possible." It has also discontinued the deposit and withdrawal features. In partnership with financial technology firm Monerium, LCX froze (disabled onchain movement) approximately 611,000 stolen EURe tokens (worth approximately $ 692,000). "Other LCX wallets such as Bitcoin, HBAR, ADA, DGB, TIA or DGMV were not attacked," the exchange said. Leading security platform ImmuneFi revealed in a recent report that crypto and decentralized finance (DeFi) protocols cumulatively lost over $ 10 billion in user funds to hacks and exploits in 2021. There are reportedly There have been 120 cases of cryptocurrency-related hacks in the last year In the last month of 2021 alone, reported at least seven cases of cryptocurrency hacking.