Binance-Linked Cryptocurrency Become Victim Of $570 Million Hack

The DeFi space is famous for all of the perks that it offers its many users and the innovative new products in the cryptocurrency market. However, there is something that the DeFi space is also known for its hacks, and is one of the reasons that plenty of new investors avoid the crypto market in general.

Since major crypto firms can have millions stolen from them in a matter of minutes, people were less likely to trust these types of firms. And one of the most recent examples of these firms was the Binance-linked blockchain that has lost over $570 million in a single hack.

This Is just another cyberattack in a series of them that have completely riddled the entire crypto market. While some companies have been lucky enough to retrieve their funds, others have had a much harder time trying to even find the people responsible.

Highway Robbery on a Bridge?

Security companies in the DeFi space have gotten more effective in finding companies that are responsible for a hack or determining how they stole the tokens. Throughout the years, hackers have always found creative ways to steal from companies, with the most effective one being to steal from bridges or highways.

Bridges and highways in the crypto space connect different cryptocurrencies and firms, which means that hackers were able to intercept the transaction, or transactions, as they were happening.

These attacks have become so frequent that they have become a concern for most firms in the crypto space. These bridges are an essential part of the market’s infrastructure, as it is what allows companies to transfer their tokens quickly.

However, cybercriminals have been able to steal as much as $2 billion in a series of 13 hacks, most of which happened this year.

The Conflicting Reports

Unfortunately, the details of this hack are still a little hazy, as people are still struggling to get accurate information. According to a tweet from Binance CEO, hackers were able to get away with $100 million worth of tokens. However, in a later blog post, the company claimed that the hackers got away with $570 million.

What Really Happened?

Elliptic, one of the biggest firms in the DeFi space dedicated to looking into cryptocurrencies and blockchain, also did their research here. They informed other news publications that the hacker had minted nearly 2 million BNB tokens before they transferred these tokens to various other cryptocurrencies.

Following the hack, as soon as word spread about the incident, BNB Chain had to suspend its blockchain for multiple hours. It would eventually go on to open the app by 0600 GMT. They are also looking into a new governance mechanism, which can allow them to bring down the severity with which these hacks are happening.