Bancor Hack Update: Stolen BNT Tokens freezed, $13.5 Mln worth of Crypto Still Missing
Swiss decentralized crypto exchange and token generation platform, Bancor, has reportedly lost $13.5 million worth of cryptocurrency to hackers.
On Monday morning, Bancor shut down its network due to “security breach”. Before it announced the attack, Bancor said it halted its Web App while it was undergoing an unplanned maintenance.
This morning (CEST) Bancor experienced a security breach. No user wallets were compromised. To complete the investigation, we have moved to maintenance and will be releasing a more detailed report shortly. We look forward to being back online as soon as possible.
— Bancor (@Bancor) July 9, 2018
Thirty minutes later, Bancor posted on twitter that it has been attacked and that it would be several hours before service would be fully restored.
According to the report, a compromised wallet was used to remove funds from a smart contract, stealing 24,984 ETH (~$12.5M), 229,356,645 NPXS (~$1M) and 3,200,000 BNT (~$10M).
However, the exchange noted that it was able to freeze the stolen BNT after the breach, using a feature installed in the Bancor protocol.
“Once the theft was identified, we were able to freeze the stolen BNT, limiting the damage to the Bancor ecosystem from the theft. The ability to freeze tokens was built into the Bancor Protocol to be used in an extreme situation to recover from a security breach, allowing Bancor to effectively stop the thief from running away with the stolen tokens,” Bancor said adding that it is currently working multiple cryptocurrency exchanges to trace the Ether and other stolen tokens and make it difficult for the hacker to withdraw them.
At the time of this writing, the Bancor web app is still down and Bancor promises to keep its customers updated via twitter.