On the night of October 23, 2023, a significant cryptocurrency theft occurred amounting to approximately 50 million yuan ($6.9 million) via a counterfeit hardware wallet purchased on TikTok.
Incident Details
According to 23pds, Chief Security Officer of the crypto security firm SlowMist, the private key of the wallet was seized during its creation phase. After the theft, the digital assets were quickly laundered on the Huiwang platform, making them untraceable.
Investor Warnings
In the wake of the incident, 23pds warned investors about the high risk of using fake hardware wallets. He highlighted that 99% of devices sold online as 'new' or 'special campaign' may be counterfeit and pre-tampered.
Safety Recommendations
Investment safety can be significantly enhanced by purchasing cold wallets through official and reliable channels. Many listings on social media attract scammers selling wallets for prices below the value of the assets stored within.
The incident emphasizes the importance of caution when acquiring hardware wallets and choosing only reputable sources to ensure the security of digital assets.
