More than $86.6 million in cryptocurrencies were illicitly moved from the HECO Chain bridge to questionable addresses, indicating a possible ongoing breach of the bridge.
Tron's TRON/USD founder Justin Sun has assured that HTX will cover all losses users suffered due to this security breach.
The company has also halted all deposits and withdrawals temporarily while they conduct a thorough investigation. Sun says normal operations will resume once the investigation is complete.
Also Read: Will Bitcoin ETFs Be The Missing Piece To Going Mainstream? Pantera CEO Thinks So
Blockchain security firm PeckShield initially raised the alarm by identifying a transaction in which approximately $19 million worth of 10,145 Ether was moved from the bridge.
This was followed by several other transactions involving digital currencies like USD Coin USDC/USD, Chainlink LINK/USD, Shiba Inu SHIB/USD, and others, being redirected to various addresses.
The HECO Chain, also known as HTX Eco Chain, was established on Dec. 21, 2020.
It emerged from a collaboration between Tron and BitTorrent’s bridge ecosystem, aiming to offer a cross-chain platform with reduced gas fees.
In 2022, Sun integrated these two ecosystems into the HECO framework.
This recent security breach in the HECO Chain marks the second major exploit of a Sun-affiliated project in a short period.
Previously, on Nov. 10, Poloniex, an exchange Sun acquired in 2018, was hit by a $100 million exploit. Security experts speculate that this incident could have stemmed from compromised private keys.
Read Next: Chanpeng Zhao Is 'Dealing With Pain... Will Survive,' Quotes Spock To Binance Employees
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
