Crypto exchange CoinSpot reportedly suffers $2M hot wallet hack

Australian crypto exchange CoinSpot has reportedly been hacked for $2.4 million in a “probable private key compromise” over at least one of its hot wallets.

According to a Nov. 8 post to his Telegram

Within the next 10 minutes, the address swapped 831 ETH for Bitcoin via Thorchain, sending the Bitcoin to four different wallet addresses, according to CertiK investigative data viewed by Cointelegraph.

A search of Bitcoin explorer BTCScan data, showed the owner of the four Bitcoin wallets distributing the allegedly ill-gained BTC to multiple new wallets, transferring smaller divisions of the funds to additional new wallets each time.

This is a tactic commonly leveraged by attackers to prolong the investigation process — making it more difficult to track the entirety of the stolen funds.

CoinSpot was established in 2013 and currently stands as Australia’s largest crypto exchange by reported user numbers, serving around 2.5 million customers. The exchange is regulated by Australian financial watchdog AUSTRAC and was granted an Australian Digital Currency Exchange License by the regulator.

CoinSpot did immediately respond to a request for comment from Cointelegraph.

Magazine: Beyond crypto — Zero-knowledge proofs show potential from voting to finance