Hacker of Lykke crypto exchange have begun the movement of the looted funds. According to a post by leading blockchain analytics firm, Cyvers, the exploiter has moved up to $4.7 million DAI to a new address.
Since the attack on the exchange on June 4, claiming over $22 million worth of digital assets, the crypto community has been on a red alert. Blockchain experts and analysts have kept close tabs on the address of the hacker monitoring the movement of the funds.
Meanwhile, the exploiter maintained a low profile before the eventual movement of the funds on Thursday which caught the attention of Cyvers and other blockchain security firms. Recall that Lykke halted withdrawal and deposit following the attack.Â
Insight into the Attack on Lykke
However, there were claims that the exchange had suffered the security breach long before the eventual release of an official statement confirming the attack. On June 8, one user took to X to complain about how core features on the platform like trading, withdrawal, and deposit are not working.
More so, the user revealed that there were rumors that the exchange had suffered a security breach. Similarly, the following day, a blockchain security expert, SomaXBT, indicated that the exchange had suffered an attack.
Further, the researcher accused the exchange of trying to cover the exploit. In a June 10 post on X, Lykke confirmed the hack and apologized to affected customers.
The exchange discussed how its solid capital reserves and diverse portfolio will let it absurd the damages of the attack. Consequently, Lykke assured its users that their funds are intact.
Additionally, the cryptocurrency exchange revealed that it had discovered the IP addresses of the hacker which will aid the firm in its criminal investigation. Lykke added that it has hired a cybersecurity team that will help blockchain and reclaim the stolen funds.
In the post, the exchange revealed that it lost more than $22 million to the breach.
Increasing Attack on Crypto Exchanges
Security breaches on cryptocurrency exchanges have become rampant lately. According to a report by blockchain research firm, TRM Labs hackers have stolen more than $1.68 billion from crypto firms from January to June 2024.
In contrast, within that period in 2023, the crypto sector only lost $657 million to hackers. Within the year, cryptocurrency exchanges like Rain, WazirX, Indodax, and many others have all been exploited.
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