HomeNEWSMixin network suffers $200m exploit

Mixin network suffers $200m exploit


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Decentralized peer-to-peer network, Mixin Network has suffered a hack that compromised the database of its third-party cloud service provider. The attack, according to the firm, resulted in a loss of more than $200 million worth of crypto assets. More so, Mixin Network confirmed today through a post on X (formerly Twitter).

According to the revelation, the attack took place on September 23, 2023, as the hackers looted crypto assets from Mixin Network’s mainnet. Due to that, the network immediately suspended its deposit and withdrawal services. However, other firms like PeckShield and 0xScope have carried out independent investigations. 

An independent investigation carried out by PeckShield revealed that Mixin held $94.48 million worth of ETH. Furthermore, the portfolio according to the blockchain analytics firm included $23.55 million worth of DAI and $23.3 million in BTC. In total, the portfolio is worth $141.32 million. 

Likewise, a report of an independent investigation from 0xScope indicated that the hacker had transacted with Mixin Network in the past. As indicated, the hacker received 5 ETH from Mixin in 2022. Later, the hacker deposited the funds to Binance. Additionally, an 0xScope analyst revealed that the hacker exchanged the looted USDT for DAI in order to prevent any seizure of the stolen funds. 

How Mixin network is pursuing the recovery of the looted funds 

At the moment, efforts are underway to recover the stolen funds. In a bid to unravel how the attack transpired, Mixin commissioned the likes of SlowMist and Google to investigate the issue. As of press time, deposits and withdrawals still remain suspended on the Network. 

Nonetheless, the network intends to resume deposits and withdrawals as soon as the vulnerabilities have been fixed. Meanwhile, Mixin Network hasn’t disclosed any plans to reclaim the stolen assets. Although, the Founder of Mixin, Feng Xiaodong is expected to discuss what transpired through a live stream at 1:00 pm Hong Kong Time today.

It is worth mentioning that the crypto community received the news about the attack on Mixin with mixed reactions. Some crypto enthusiasts criticized how the hack transpired, condemning the network for claiming to be decentralized. Also, another section of the community said the attack could be an insider rug pull. 

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David Idowu
David Idowu
David Idowu is a crypto reporter and trader with wealthy years of experience. He believes that blockchain technology has numerous opportunities that are begging for proper utilization. Away from work, David is either reading about World Politics, History or Tech Innovations.

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