Taiwan-based quantitative trading platform Kronos Research has announced a sudden breach of some of its API keys.
According to the post on the X app. According to blockchain researcher ZachXBT, these API keys gave the hackers unauthorized access to siphon approximately $25 million in cryptocurrencies, most of which was in Ethereum (ETH).
Trading Activities on Hold
Kronos had suspended trading activities and commenced investigations. Moreso, the company claims that the stolen funds are an insignificant portion of its equity, hence, the breach has little or no impact on its activities which will resume soon enough. In response to Kronos’ tweet, Woo X also released an update clarifying that its customers’ funds are secured although, they still have to respect the suspension of trading on Woo X.
“Since Kronos Research is the primary liquidity provider for spot markets and around 40% for perpetual futures, we have temporarily paused trading across WOO X to protect users positions from a lack of liquidity,” Woo X added.
Woo X Resumes Spot And Perpetual Trading
Notably, Woo X is the exchange that was incubated by Kronos, and Kronos also serves as a key market maker. Furthermore, Woo X assured its users that it is currently engaging its other market markers to resume perpetual trading for major assets. At the time of this writing, spot and perpetual trading and withdrawals have already resumed on the Woo X platform.
These kinds of security breaches have become rampant within the cryptocurrency industry in recent times. In the past few weeks, an alarming number of hacks have been recorded, underscoring the need for high-level security fixes.
Security Breaches plague the Crypto Market
Less than a week ago, ZachXBT equally reported a breach on a crypto wallet closely associated with leading cryptocurrency exchange Binance.
The perpetrator made away with $27 million worth of Tether (USDT), a United States dollar-pegged stablecoin. In a bid to obfuscate his track, the hacker converted the USDT to ETH and immediately laundered the asset on the decentralized liquidity protocol THORChain where it was finally converted to Bitcoin.
In September, the Non-fungible token (NFT) marketplace OpenSea announced a breach on one of its third-party vendors. OpenSea stated that the breach “may have exposed information” related to users’ API keys. Seeing the frequency of the occurrence of these kinds of attacks, it is pertinent that investors and traders remain cautious and endeavor to keep their privacy keys secured.