Indian cryptocurrency exchange WazirX has been hit by a major security breach, with a staggering $234.9 million in assets stolen from its Safe Multisig wallet on Ethereum. The breach was discovered by web3 security firm Cyvers, who reported that the funds were transferred to a new address through multiple transactions funded by crypto mixer Tornado Cash.
The stolen assets, which included Pepe (PEPE), Gala (GALA), and Tether (USDT), have already been converted into Ether (ETH) by the new address. Crypto investigator ZachXBT identified the suspected theft address, which currently holds approximately $52 million in ETH, $80 million in Shiba Inu (SHIB), and $1.6 million in Polygon (MATIC), among other tokens.
In response to the breach, WazirX has temporarily suspended withdrawals of Indian rupees and cryptocurrencies on its platform and stated that they are actively investigating the incident. The breach underscores the importance of robust security measures in the crypto industry to protect investors and maintain market integrity.
This incident comes at a time of regulatory uncertainty in India’s crypto industry, with the Financial Intelligence Unit (FIU) issuing compliance notices to foreign crypto exchanges earlier this year, leading to some ceasing operations in the country. As the investigation into the breach continues, the crypto community will be closely watching for updates on the situation.
