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 A vast amount of fabricated cryptocurrencies, even worth more than $1 million, can be withdrawn and converted into other assets.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

Kraken Introduces SFI Trading on October 23

On October 23, Kraken announced the addition of SFI trading, providing fresh access to a token associated with the Saffron protocol, which has undergone significant changes since its early DeFi days.

user avatarAyman Ben Youssef

Kraken Exchange Announces Withdrawal Phase for 13 Assets

Kraken has officially moved into the withdrawal phase for 13 assets, with trading and deposits set to stop on October 23, 2023. Customers are urged to withdraw their remaining tokens before the exchange begins liquidating balances.

user avatarTando Nkube

Cardano's Leios Scaling Plan Unveiled

Cardano has unveiled a detailed roadmap for its Leios scaling plan, targeting significant increases in transaction capacity with a staged approach for adjustments based on real-world performance.

user avatarKofi Adjeman

Cardano's New Scaling Test Reveals Key Performance Metrics

A recent report by Input Output highlights the performance improvements of the Cardano scaling test, focusing on throughput and completion time.

user avatarSatoshi Nakamura

Crypto Market Declines Following Global Selloff

The crypto market faced a significant decline over the weekend, with Bitcoin falling 11%, Ethereum dropping 26%, and Solana decreasing by 28%, following a global market selloff.

user avatarNguyen Van Long

Cardano Developers Launch Public Test Network for Dijkstra Upgrade

Cardano developers have launched a public test network for the Dijkstra upgrade, enabling developers to test and prepare for new protocol rules.

user avatarJesper Sørensen

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.