CertiK faced threats from Kraken

CertiK faced threats from Kraken

user avatar

by Eve Adams

2 years ago


Experts from the company CertiK, specializing in blockchain security, identified several critical vulnerabilities in the centralized exchange Kraken. They reported that these vulnerabilities could lead to losses of hundreds of millions of US dollars (USD). Additionally, the specialists stated that representatives of the exchange threatened them. The experts pointed out a vulnerability in the deposit system.

The CertiK team conducted a thorough investigation into three main issues: the possibility for an attacker to fabricate a deposit transaction, withdraw fake funds, and the risk control and asset protection measures activated when requesting a large sum transfer.

Based on our analysis, the Kraken exchange failed the tests, indicating that the security system is compromised in several areas. Millions of dollars can be deposited into any account. A vast amount of fabricated cryptocurrencies, even worth more than $1 million, can be withdrawn and converted into other assets. During several days of testing, not a single alert was generated. Kraken responded and blocked our test accounts only a few days after we officially reported the incident, stated CertiK.

After CertiK notified Kraken of the issues, the exchange's security service classified the incident as «critical», the highest level of danger for the platform.

In the spirit of transparency and commitment to the Web3 community, we publicly disclose this issue to protect the security of all users. We also urge Kraken to stop threatening white hackers, stated CertiK representatives.

Despite resolving the issue, Kraken's security team threatened individual CertiK employees, stating they would not pay the due reward. Furthermore, Kraken did not specify the transfer deadlines and did not request addresses for sending the reward.

Tier I

Sector: #18291

Sealed Hiding Place Room

Resource Cache

Resource Cache

Tier I

Requires 25% Tier Progress to Claim
Meme Cache

Meme Cache

Tier I

Requires 50% Tier Progress to Claim
Equipment Cache

Equipment Cache

Tier I

Requires 75% Tier Progress to Claim

After collecting, hiding places will be stored in your inventory and can be opened with Keys.

Other news

Optimism Releases Required Batcher Update v1170

Optimism has announced the release of opbatcher v1170, which is mandatory for operators using the batching infrastructure for OP Stack chains.

user avatarAndrew Smith

NEAR Developers Release First Candidate for nearcore 2140

The NEAR developers have published the first release candidate for nearcore 2140, introducing significant protocol and database changes.

user avatarJacob Williams

Lido Completes Winddown of Regular Simple DVT Clusters

Lido has successfully completed the winddown of its regular Simple DVT clusters, marking a significant step in the decentralization of its validator operations.

user avatarZainab Kamara

Avalanche Schedules Helicon Network Upgrade for September 22

Avalanche has announced the Helicon network upgrade for its mainnet, set to activate on September 22 at 1500 UTC.

user avatarSon Min-ho

Uniswap Proposes Protocol Fee Rollout to Circles Arc Blockchain

Uniswap Labs has introduced a proposal to extend its protocol fee collection and UNI burn infrastructure to the Arc blockchain.

user avatarAyman Ben Youssef

Aave V4 Now Live on Circle's Arc Blockchain

Aave V4 has officially launched on Circle's newly established Arc blockchain, featuring key assets such as USDC, EURC, cirBTC, and WETH.

user avatarTando Nkube

Important disclaimer: The information presented on the Dapp.Expert portal is intended solely for informational purposes and does not constitute an investment recommendation or a guide to action in the field of cryptocurrencies. The Dapp.Expert team is not responsible for any potential losses or missed profits associated with the use of materials published on the site. Before making investment decisions in cryptocurrencies, we recommend consulting a qualified financial advisor.