Atomic Wallet’s Recent Breach: The Unfolding Drama
In the tumultuous aftermath of a significant hack, Atomic Wallet claims the incident impacted less than 1% of its active monthly users. Since June 2, the breach led to a staggering loss of $35 million. Both Atomic Wallet and independent blockchain investigators are currently engaged in rigorous efforts to trace and reclaim the stolen funds.
However, investors have a different perspective, raising concerns over the company’s attempts to downplay the magnitude of the incident.
Phishing Scams Rise Amid the Chaos
In an opportunistic twist, verified scam Twitter accounts have been impersonating Atomic Wallet. They have shared phishing links, deceptively offering assistance to users attempting to recover their lost funds.
The Recovery Process: In The Shadows
Pseudonymous blockchain investigator, ZachXBT, has claimed to have aided one victim in recovering $1 million worth of lost funds. The specifics of this process remain under wraps, with ZachXBT stating that he would share the details at an appropriate time.
Despite this promising development, an increasing number of users continue to report a loss of funds. This stands in stark contrast to Atomic Wallet’s official announcement downplaying the extent of the hack.
A Reality Check for the Crypto Wallet Industry
This incident offers a cautionary tale about the importance of diligently researching service providers for crypto asset security. The crypto community is calling into question the narrative of “not your keys, not your coins” advocated by several crypto wallet providers, including Atomic Wallet.
Delving Deeper into the Losses
ZachXBT’s investigation revealed that a single user lost an enormous sum of $7.95 million in Tether on the Tron blockchain. As of the latest update, the five largest losses amount to $17 million.
High-Profile Hack: Pro-XRP Lawyer Targeted
On June 4, the mobile phone of pro-XRP lawyer, John Deaton, was compromised by a hacker who then used Deaton’s Twitter account to promote LAW tokens. Deaton and his representatives quickly issued warnings against investing in the cryptocurrency, alerting users of the hack.
This episode serves as a stark reminder of the vulnerabilities in the crypto world, prompting further discussions around user security and the need for more stringent protection mechanisms.
