North Korean Hackers Steal Over $230 Million from Indian Crypto Exchange WazirX

In response, WazirX immediately filed a police report and notified relevant financial authorities, including the Financial Intelligence Unit (FIU) and CERT-In, India’s national nodal agency for responding to computer security incidents. Consequently, these measures should expedite the investigation and, hopefully, lead to the swift identification of the perpetrators.

In response to the incident, Liminal clarified that the compromised multi-signature wallet was created outside its ecosystem. The firm assured everyone that the breach had not affected its platform and that its infrastructure, wallets, and assets remain secure. This statement suggests a potential security lapse or breach at the client or user end, leading to the mishap.

WazirX’s investigation indicates that attackers performed a critical “payload replacement,” altering the transaction to transfer control of the wallet to themselves. This type of attack manipulates the transaction data presented for signing compared to what is actually transmitted to the blockchain.

Elliptic’s report highlights the involvement of North Korean hackers, known for their sophisticated cyber operations aimed at financing the isolated state’s regime. This incident, therefore, adds to a growing list of cyber heists attributed to North Korean actors, who have previously targeted several high-profile global institutions.

It also highlights the critical need for robust security measures, thorough risk assessment protocols, and continuous monitoring of all transactions. Crypto exchanges should reassess their security frameworks and user access protocols to prevent such breaches in the future.