DeltaPrime, an Avalanche-based DeFi protocol, is reportedly facing a security breach that may have resulted in the loss of $5.93 million worth of cryptocurrencies from its wallets.
Private Key Leak Incident
The incident, which came to light in the early hours of September 16, is believed to stem from an admin private key leak. The precise details of the private key breach remain unclear.
Details and Potential Links
There are speculations about a potential connection between the hack and North Korea. Blockchain investigator ZachXBT pointed out that DeltaPrime had previously hired North Korean IT workers. However, they emphasized that these flagged employees had been removed, leaving this potential link uncertain. According to researchers at Cyvers Alerts, the hack specifically targeted DeltaPrime’s version deployed on Arbitrum. The hacker had already converted the stolen USD Coin (USDC) to Ethereum (ETH) and continues draining various pools, including DPUSDC, DPARB, and DPBTCb.
Other Recent Crypto Hacks
This incident adds to a series of recent crypto hacks, including the July breach of the Indian exchange WazirX. The hacker reportedly moved approximately $23 million in stolen assets to Tornado Cash on September 12. According to Cyvers Alerts in a post on September 12, a hacker stole $230 million from WazirX wallets, transferring 5,000 ETH to a new address and $4.7 million to Tornado Cash. They also sold $7.6 million worth of $PEPE tokens and continue liquidating assets via UniSwap.
As of press time, DeltaPrime’s team has not provided any official updates or verification of these claims. It’s also unclear whether the protocol’s Avalanche network deployment faces similar vulnerabilities.
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