In a recent incident, 1,590 crypto wallets managed by CoinStats fell victim to a hack initiated through the compromise of an employee. On June 22, CoinStats, a cryptocurrency portfolio manager, temporarily halted its operations upon discovering an ongoing attack on its wallets. A prompt response contained the breach, limiting the hacker’s impact to a mere 1.3% of all wallets, resulting in losses totaling $2 million.
Source:
Narek Gevorgyan
Five days later, on June 26, Narek Gevorgyan, CEO of CoinStats, disclosed the outcomes of an internal inquiry, highlighting the prevalence of social engineering as a tactic employed by hackers to manipulate individuals and gain unauthorized access to computer systems.
CoinStats took its website offline as part of efforts to address the security lapse. Source: CoinStats
While Gevorgyan’s statement did not explicitly commit to compensating all affected users, the company intends to outline a comprehensive remedial strategy following a thorough post-mortem analysis of the incident. Some members of the community have reported significant losses from the breach. For example, Blurr.eth allegedly lost 3,657 Maker (MKR) tokens valued at approximately $8.7 million.
Source:
Wu Blockchain
However, the company has yet to formally recognize these claims.
Related:
1,590 CoinStats crypto wallets ‘affected’ in security breach
Security breaches have become an escalating concern for providers of crypto services. On June 5, CoinGecko, a cryptocurrency data aggregator, experienced a data breach via its third-party email management platform GetResponse. Similar to the incident at CoinStats, the breach at CoinGecko stemmed from a compromised employee account, according to the company’s announcement on June 7:
The compromised data includes users’ names, email addresses, IP addresses, locations of email opens, and other metadata such as sign-up dates and subscription plans.
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