WazirX Hacked for $230M, Largely in SHIB, as Elliptic Says North Korea Behind

[libert19]

Although i don't understand why most loss caused by stolen SHIB, is SHIB very popular in India? Your opinion is greatly appreciated.

$SHIB or any other memecoin for that matter, are popular (in India or elsewhere) because they are very cheap, when people purchase these cheap coins they get huge quantities and usual mindset goes, it's easy to be rich that way.

[pakhitheboss]

Although i don't understand why most loss caused by stolen SHIB, is SHIB very popular in India? Your opinion is greatly appreciated.

$SHIB or any other memecoin for that matter, are popular (in India or elsewhere) because they are very cheap, when people purchase these cheap coins they get huge quantities and usual mindset goes, it's easy to be rich that way.

Last year coingecko blog published an article where that listed the names of countries that are obsessed with meme coins. On that list India was second and the number one country was the US. They did Shiba Inu top the list of meme coins that are most popular in India. I am sharing the article here: Top 10 Countries Leading the Meme Coin Craze in 2023. I was expecting another article from them this year as the hype of meme coin has gone up more this year but they have not published an article this year.

[Stompix]

And they outlined a bounty hunters that can help them recover the funds, it's 10% of the total money that has been hacked,

--snip--

The offer is interesting, although it's hard to imagine the hacker being careless which lead to returning funds. On top of that, the hacker always swap hacked asset for something else, which makes it more complicated.

I think this is not about finding a hacker but offering the real hackers a 10% of the sum and immunity in a criminal's case, basically, they pay back the sum they get fully legal 10% of it and everyone is happy and no police are involved.
I've never heard before, although I could be wrong about a hacker hacking the wallets of a criminal especially since they don't know where the coins are actually, imagine the hacker miraculously finds those are hosted in a cold wallet somewhere and they hack some dex for it, how would that even work from a legal point of view?

But as for WazirX, I'm not so sure how anyone can feel sorry for them. Because they failed to implement a SAFU fund for their users as an insurance against getting hacked, and now the result is their customers bearing the burnt of the loss.

I think the SAFU worked only during the time when they were either bought or under Binance  after all , isn't SAFU a trademark , lol?

[KingsDen]

Although i don't understand why most loss caused by stolen SHIB, is SHIB very popular in India? Your opinion is greatly appreciated.

$SHIB or any other memecoin for that matter, are popular (in India or elsewhere) because they are very cheap, when people purchase these cheap coins they get huge quantities and usual mindset goes, it's easy to be rich that way.

Now in real life, has such mindset made more millionaires or it has made more poor? I ask because I know of few people who claim that such meme projects made them big fortunes and others also claim that they lost massively. Comparing the ratio of win to lose. Has the meme coins done more harm than good?

[Faisal2202]

North Korea hackers are only concerned about stealing money to build more rockets, weapons, guns, bombs, etc.

But as for WazirX, I'm not so sure how anyone can feel sorry for them. Because they failed to implement a SAFU fund for their users as an insurance against getting hacked, and now the result is their customers bearing the burnt of the loss.

You are right, I have been reading a lot of stories about Lazarus group. These 2 hacks are not the only hacks that this group has caused. There is a lot of money that this group has scammed in various hacks. And all of this money just to make themselves a big nuclear power! rockets, weapons, and guns are not enough and they know that. But using crypto to complete their agenda is not the right thing this clearly gives a bad image to Crypto and BTC.

Speaking of WazirX, they were trying to upgrade their security measurements and when they did that, hackers found a loophole and found a way to get in. Which caused them a big loss. I read in a news that they were planning this heist for 8 days by rehearsing it. WazirX has been hacked before and now this hack puts a big question on their management, the ones who thought to give a chance to Wazir before might not prefer to give it after this incident.

[Kemarit]

And they outlined a bounty hunters that can help them recover the funds, it's 10% of the total money that has been hacked,

--snip--

The offer is interesting, although it's hard to imagine the hacker being careless which lead to returning funds. On top of that, the hacker always swap hacked asset for something else, which makes it more complicated.

I think this is not about finding a hacker but offering the real hackers a 10% of the sum and immunity in a criminal's case, basically, they pay back the sum they get fully legal 10% of it and everyone is happy and no police are involved.
I've never heard before, although I could be wrong about a hacker hacking the wallets of a criminal especially since they don't know where the coins are actually, imagine the hacker miraculously finds those are hosted in a cold wallet somewhere and they hack some dex for it, how would that even work from a legal point of view?

But as for WazirX, I'm not so sure how anyone can feel sorry for them. Because they failed to implement a SAFU fund for their users as an insurance against getting hacked, and now the result is their customers bearing the burnt of the loss.

I think the SAFU worked only during the time when they were either bought or under Binance  after all , isn't SAFU a trademark , lol?

It could be a trademark by Binance, and as far as I remember, they started a call to other exchanges as well to reserved at least 10% of their funds to SAFU in case of such hacked will happen in the future for them and other exchanges.

But it seems that this call to action was not heed obviously, and not WazirX resorted to want to pay white ethical hackers that 10% of the funds that was hacked. And it might be huge amount, but I don't know if this is a effective method of exchanges instead of simply allocating 10% as a reserved.

[Faisal2202]

What is certain is that the number of users will decrease and many will move to larger exchanges that better guarantee the security of their investments. if there was also a controversial problem before, then it is only necessary to see Wazirx go bankrupt slowly.

WazirX mentioned that "many exchanges" are "cooperating" with them and explained immediate plans that include "tracking stolen funds, recovering customer assets, and conducting a more in-depth analysis of the cyberattack

This statement made by WazirX also indicates that before this hack they lacked resourcefulness and security checkup, the hack occurred after they did a security update. Whatever the reason will be but if I were one of the users of this exchange then I would have left the exchange since it last hacked back. It's always easy for new users to give a second chance to an exchange like this, and users also give try in the rave of getting some bonus, or reward and by joining some contest within the exchange otherwise it's not wise to store funds on such an exchange.

On the first hand, it's not wise to store funds in any CEX at all but if a person like me is still storing then its best to leave this exchange out of option. Although I never used this exchange because I never needed to, I always used one Binance, and last I used Kraken by due to the case against it from SEC I left it as well. Binance was under great pressure back in 2023 and at that time when I sensed the pressure among Binance and the Government I withdrew all funds but I had this feeling that this exchange will survive.

[Stompix]

It could be a trademark by Binance, and as far as I remember, they started a call to other exchanges as well to reserved at least 10% of their funds to SAFU in case of such hacked will happen in the future for them and other exchanges.

No exchange actually has that money, you would need to make a profit of at least 10% of what people deposit on your website from fees, yeah you can make a ton of money from those but it is nothing compared to the volume of $ you need to ensure. SAFU is a marketing trick, if even Binance gets hacked you will see how little their funds can cover.

And it might be huge amount, but I don't know if this is a effective method of exchanges instead of simply allocating 10% as a reserve.

It's a difference, but not about the efficiency, about how much $
- with a reserve of 10% you get hacked and you still have 10% but that's all
- with this 10% offer, you might get the rest of the 90% stolen

[MrSpasybo]

This statement made by WazirX also indicates that before this hack they lacked resourcefulness and security checkup, the hack occurred after they did a security update. Whatever the reason will be but if I were one of the users of this exchange then I would have left the exchange since it last hacked back. It's always easy for new users to give a second chance to an exchange like this, and users also give try in the rave of getting some bonus, or reward and by joining some contest within the exchange otherwise it's not wise to store funds on such an exchange.

On the first hand, it's not wise to store funds in any CEX at all but if a person like me is still storing then its best to leave this exchange out of option. Although I never used this exchange because I never needed to, I always used one Binance, and last I used Kraken by due to the case against it from SEC I left it as well. Binance was under great pressure back in 2023 and at that time when I sensed the pressure among Binance and the Government I withdrew all funds but I had this feeling that this exchange will survive.

WazirX was once very famous during the bullrun 2021 thanks to the impressive price increase of the WRX token from $0.05 to $5.00. However, this CEX has almost disappeared from the crypto map when the token price dropped sharply and there were no major events for the community. This hacking incident further damages WazirX reputation, and it's never been my choice. Luckily, I don't use WazirX and am not affected by this hack.

I think many other investors and traders have similar views: no one wants to use a CEX with poor security. I'm afraid that WazirX will fail and be acquired by some other CEX in the future if there isn't a large enough promotional strategy to regain customer trust.

[libert19]

Although i don't understand why most loss caused by stolen SHIB, is SHIB very popular in India? Your opinion is greatly appreciated.

$SHIB or any other memecoin for that matter, are popular (in India or elsewhere) because they are very cheap, when people purchase these cheap coins they get huge quantities and usual mindset goes, it's easy to be rich that way.

Now in real life, has such mindset made more millionaires or it has made more poor? I ask because I know of few people who claim that such meme projects made them big fortunes and others also claim that they lost massively. Comparing the ratio of win to lose. Has the meme coins done more harm than good?

$wif, $pepe,$shib — early buyers made fortunes with this coins, and I saw some regret tweets also from people who had gotten early into these coins but sold early and missed their fortunes.

However, the survive ratio amongst meme coins remains piss poor and most people lose in it. There are handful of memecoins surving among thousands that appear. Myself also gambled on few memecoins in hopes to get rich, and it didn't work out.

[KingsDen]

Although i don't understand why most loss caused by stolen SHIB, is SHIB very popular in India? Your opinion is greatly appreciated.

$SHIB or any other memecoin for that matter, are popular (in India or elsewhere) because they are very cheap, when people purchase these cheap coins they get huge quantities and usual mindset goes, it's easy to be rich that way.

Now in real life, has such mindset made more millionaires or it has made more poor? I ask because I know of few people who claim that such meme projects made them big fortunes and others also claim that they lost massively. Comparing the ratio of win to lose. Has the meme coins done more harm than good?

$wif, $pepe,$shib — early buyers made fortunes with this coins, and I saw some regret tweets also from people who had gotten early into these coins but sold early and missed their fortunes.

However, the survive ratio amongst meme coins remains piss poor and most people lose in it. There are handful of memecoins surving among thousands that appear. Myself also gambled on few memecoins in hopes to get rich, and it didn't work out.

I had gambled in such a meme coin even when I do not understand what type of coin it was. I was informed to go buy shiba that it was making some massive movement and honestly, it did make but unfortunately to me, I entered the market when it was the end of the pump. The coin dumped on me and till now I am still holding it.
The conclusion is that while a few early adopters make good fortune, so many lose out completely.

[Cech1337]

Thank you for the update. It's reassuring to know that the team is actively investigating the breach and prioritizing the safety of assets. I appreciate the transparency and the steps being taken to address the issue. I’ll stay tuned for further updates and hope for a swift resolution.

[Stompix]

Thank you for the update. It's reassuring to know that the team is actively investigating the breach and prioritizing the safety of assets. I appreciate the transparency and the steps being taken to address the issue. I’ll stay tuned for further updates and hope for a swift resolution.

Reassuring? Safety of assets?
https://cointelegraph.com/news/wazirx-socialized-loss-strategy-230m-hack

Socialized loss strategy so everyone will lose 45% of their coins, as the chances of getting those back are slim to none.

Unlocking of locked tokens will be subject to ongoing recovery efforts. This includes tracing and recovering stolen assets, collaborating with partners to cover the deficit, and exploring compensation methods, including potential airdrops. Users who select Option A can benefit on priority from proceeds that we are able to receive (if any) from ongoing or future recovery efforts.

They just took customers' money to cover the loss and keep going, and after that people were angry about why did some demanded regulations, and why authorities are trying to force exchanges to keep exchange and customers' coins separated.
10 years and nothing has changed, you;re better of having your coins in a pawnshop than an exchange.

[Z-tight]

Thank you for the update. It's reassuring to know that the team is actively investigating the breach and prioritizing the safety of assets. I appreciate the transparency and the steps being taken to address the issue. I’ll stay tuned for further updates and hope for a swift resolution.

So what do you think is going to happen, do you even think there is a 0.1% chance that there would be a swift resolution; Mt. Gox is just refunding their customers this month, creditors had to wait ~ 10 years. You can only ensure the safety of your assets if you store it in your self custodial wallet, and i recommend you ignore PR published by a hacked exchange, it does not mean there is a solution forthcoming.

[Faisal2202]

WazirX was once very famous during the bullrun 2021 thanks to the impressive price increase of the WRX token from $0.05 to $5.00. However, this CEX has almost disappeared from the crypto map when the token price dropped sharply and there were no major events for the community. This hacking incident further damages WazirX reputation, and it's never been my choice. Luckily, I don't use WazirX and am not affected by this hack.

I think many other investors and traders have similar views: no one wants to use a CEX with poor security. I'm afraid that WazirX will fail and be acquired by some other CEX in the future if there isn't a large enough promotional strategy to regain customer trust.

I did not know about the pump in the price of WRX token well it's really a big pump and I hope the investors have made some big profits from it.  And you are right Wazirx is not disappearing from the exchange list the reason is users have other options like most of people are now using OKX and Bybit which are also good exchanges. I was also not affected by the WazirX incident as I don't use it. I prefer to use exchanges that can be easily accessible from my country as in terms of KYC.

WazirX is dead in my sight they might prefer to rebrand their name or sell themselves to a reputed exchange as you mentioned. These are the only ways for them to recover. But if they spend money like on campaigns then people in the hope of making money might do trading and store funds on the exchange.