Cryptocurrencies

Cryptocurrency exchange Binance reportedly helps investigate malicious attack on exchange

Cryptocurrency exchange Binance reportedly helped investigate a malicious attack on Turkish cryptocurrency exchange BtcTurk, with more than $5 million in stolen funds frozen at this point, according to Binance CEO Richard Teng .

“Binance BtcTurk is participating in the investigation and has frozen over $5.3 million in stolen funds so far,” Teng wrote in a June 22 post.

BtcTurk, which has more than 5 million users according to its website, said the attack primarily affected assets held in hot wallets – cryptocurrency software wallets connected to the Internet. Although hot wallets are more efficient for frequent transactions, they are more vulnerable to malicious hackers than non-cold storages.

“Only a portion of the 10 cryptocurrency balances in our hot wallets were affected by this cyberattack, while the majority of assets in our cold wallets remain safe,” reads a Google-translated version of a BtcTurk statement from June 22.

Statement from BtcTurk dated June 22 informing users of the malicious attack. Source: PT Turk

Meanwhile, Teng informed his 299,800 X followers that Binance would provide updates once its investigative team found more information.

“Our investigation and security teams are working around the clock as part of our proactive efforts to protect the ecosystem from bad actors. “We will provide further updates as appropriate,” Teng said.

Binance received praise as bad actors continue to attack cryptocurrency exchanges

This comes after Blockchain Investigator ZackXBT praised Binance for its efforts to help the broader community during security incidents.

ZachXBT said on June 22 in a

BtcTurk CEO Ozgur Guneri has not yet made a public comment to X on this matter.

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This comes just days after Lykke, the Swiss-based cryptocurrency exchange, halted withdrawals after falling victim to an exploit on June 4.

Blockchain security researcher SomaXBT accused the team of trying to hide the security flaw, saying: “@lykke CTX was exploited and lost $19.5 million in crypto assets, but the team always tries to hide this fact. »

Cointelegraph reached out to BtcTurk for comment but did not receive a response at the time of publication.

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