The gold wallet crash costs AscendEX nearly $ 80 million.

The 3rd anniversary of the AscendEX exchange (formerly BitMax) witnessed the crash of the gold wallet.

On December 12, AscendEX announced that it had "detected that certain ERC-20, BSC and Polygon tokens were being exchanged through hotwallets without authorization." If funds are affected by the incident, they will be paid in full by AscendEX. "

AscendEX did not disclose the reasons for the token-bonus gap in this report, and blockchain security firm PeckShield has listed the affected assets. , and the company estimates AscendEX a total loss of $ 77.7 million. United States.

It is the second exchange in the middle to lose assets in favor of an unusual gold portfolio by half. On December 6, the Bitmart cryptocurrency exchange, which claims to be listed in the Cayman Islands, revealed the private key to the ETHereum (ETH) and Binance Smart Chain (BSC) gold wallets stolen, causing losses. Almost $ 2 billion.

Raimundo Castilla, CEO of digital storage platform Prosegur Crypto, discusses the theft of BitMart (an accounts receivable monitoring platform) and reconsiders the need to provide new technology with strict quality control procedures. Do not keep your private key online. Therefore, you should use the free list of "So even if someone gets your private key, they can only send money to wallet in advance".

AscendEX Loses $ 77.7 Million After Surpassing Series B Finances

On December 12, AscendEX commented on the bad wallet that happened the day before: "We saw unauthorized changes in the bag of gold around 10:00 PM UTC on December 11". Unauthorized modification "warning.

Prior to the last day of the announcement, AscendEX canceled and pulled out, and memories and user complaints about the change continued.

A user can post commercial information in exchange on the official Twitter exchange and ask a question. He's billed at 3:21 p.m. EST, but the exchange blocked him because he pulled out two minutes later. Why do you get a deposit when withdrawing?

Other users believe AscendEX should quickly expose its users to issues after seeing an unusual transaction, allowing some users to unwittingly refund, stay on the current exchange, and not interfere with the use of their money.

AscendEX did not disclose the details of the impact and damage statistics, only the fact that the affected assets represent a percentage of the total assets of the exchange. . However, the security blockchain company PeckShield has already given the list of assets affected by the market on its official Twitter and the rating drops to three wallets in the chain. .The agency estimates that AscendEX lost a total of $ 7,770, of which around $ 60 million in tokens were lost on the Ethereum chain, and the TARA token loss was the heaviest at $ 10.82 million.There are also USDT and UDSC stablecoins, the token loss of the BSC chain is around $ 9.2 million, and the token loss of the polygonal chain is around $ 8.5 million.

PeckShield Lists AscendEX Ethereum Wallet Losses

Meanwhile, AscendEX lost nearly $ 80 million on Round B funding. In November of this year, the exchange announced the completion of a $ 50 million round of funding led by Polychain Capital and Hack. VC. According to Financial News, the exchange started trading on "BitMax" in July 2018 and has requested to provide cryptocurrency, securities and loans to more than a million sales and customer markets around the world.

Considering AscendEX's recent announcement, along with many industry insiders celebrating its third anniversary, it's clear that buyers can break this celebration.

The wallets of the two exchanges were destroyed in half a day.

AscendEX jewelry also announced the order after the exchange change.

The exchange said in a statement that it would "disclose 100% of all affected users." Work with blockchain forensics companies and law enforcement agencies to monitor asset swaps and manage relationships with other CEXs for blacklisting related incidents.

Additionally, the exchange called for working with interventions to reduce damage to communities, "promote commitment to authorization and stop shifting interventions. Operations explore the possibility of returning tokens to users." . We are doing it, ”the exchange said. After a thorough security review, we plan to relaunch the platform to allow all users to freely trade their assets. "Each affected user will receive a 100% AscendEX grant."

As AscendEX has Chinese users and recently announced its response to Mainland China's cryptocurrency industry regulatory policy, some Chinese users have questioned each other in the community if other exchanges can. resolve it before closing the business in China. . However, the community management team did not receive a clear response saying, "Our platform is not currently intended to clean up Chinese users. Please pay close attention to notices. Before."

By less than half of December, there were already extremely hot portfolios on both exchanges, and both suffered huge losses.

On December 4, a "massive breach" occurred in the Ethereum (ETH) and Binance Smart Chain (BSC) wallets of the Bitmart exchange. According to PeckShield, the value of the assets affected by the exchange is $ 196 million. Two days later, the exchange announced that the reason for the theft was "The private key to the two gold exchanges has been stolen."

Judging from two security scenarios, although the cryptocurrency market has been around for over 10 years, the exchange rate support that forces consumers to spend a lot of money is still non-existent.

Speaking about the theft of BitMart on December 11, the CEO of digital storage platform Prosegur Crypto Raimundo Castilla believed that the recent breaches could be avoided if users of the platform were given adequate training to protect their digital assets. . It is stored outside, not on the exchange itself. "Gold wallets only keep the money you want to trade, and your assets should be kept in a cold warehouse for 100% offline trading."

Regarding the management of wallet exchanges, Castilla said platforms like BitMart need to integrate the latest technologies with strict control procedures to avoid future incidents. They oppose him no matter how much they defend. . "