14 C
New York
Monday, December 11, 2023

Shocking Atomic Wallet Hack Update: Unanswered Questions Revealed

Despite Atomic Wallet releasing a comprehensive “event statement” regarding the June exploit that has resulted in estimated losses of up to $100 million, users are still seeking further clarification.

The decentralized wallet provider claimed in a blog post on June 20 that there have been no new confirmed cases following the initial reports of the hack.

They reiterated their previous statement that less than 0.1% of app users were affected, although this figure is still disputed by many online.

Atomic Wallet did not specifically identify the cause of the exploit but outlined four probable scenarios, including a virus on user devices, an infrastructure breach, a man-in-the-middle attack, or malware code injection.

However, none of these scenarios have been confirmed as the root cause of the breaches. Atomic Wallet stated that their security infrastructure has been updated, and they are working on an app update to enhance security, which has been verified by external auditors.

However, there are lingering questions surrounding the identity of the mentioned “external auditors” and where users can access their statements. Yevhenii Bezuhlyi, the former head of smart contract audit at cybersecurity firm Hacken, raised these concerns.

Ouriel Ohayon, the CEO of ZenGo, a rival wallet provider, questioned why Atomic Wallet needed to update its security infrastructure and what triggered this measure.

Others pointed out that the various possibilities presented by Atomic Wallet as potential causes indicated a lack of understanding about how the exploit occurred.

Atomic Wallet mentioned that it had observed the laundering and mixing of user funds, most of which are still traceable. They have sought assistance from blockchain analytics firms, Chainalysis and Crystal Blockchain, for the ongoing investigation. Chainalysis stated that it cannot provide comments on its work or findings concerning Atomic Wallet.

City Telegraph reached out to Atomic Wallet for further clarification regarding certain aspects of their statement. Additionally, Crystal Blockchain was contacted to inquire about their findings related to Atomic Wallet.

Latest Posts

Don't Miss

Stay in touch

To be updated with all the latest news, offers and special announcements.