Binance’s security team identified two suspects in the KyberSwap $265K exploit. Binance has also involved law enforcement in continuing the investigation further.
DeFi exploits are taking place in the crypto industry on a daily basis, making it one of the primary reasons for the bearishness in the crypto market. After the Curve Finance exploit last month, the multi-chain decentralized exchange (DEX) KyberSwap gets added to the list of DeFi projects to suffer a front-end exploit. However, cryptocurrency exchange giant Binance has stretched its helping hand as the security team identified two suspects for yesterday’s KyberSwap hack.
KyberSwap Front-end Exploit
KyberSwap became the latest DeFi exchange to be a victim of an exploit, leading to a loss of a considerable amount. Kyber Network runs the DeFi liquidity sector. On Thursday, the decentralized exchange (DEX) announced that its team had identified an exploit on the front-end. However, KyberSwap neutralized it later by taking proper steps within a short period, losing a considerable amount of $265K.
According to KyberSwap, the said amount was stolen from two users’ accounts. However, the team resolved the issue, and there was little threat to the customers. Regarding this, KyberSwap has shared detailed instructions through a blog post to keep the customers safe and secure. The platform assured that users could utilize the network for their uses as the issue was resolved. KyberSwap advised the users to be aware of caution and not to approve any requests that appear malicious.
Binance Becomes A Big Brother
KyberSwap offered a bounty of roughly $40,000 to the hacker as a way to remediate the situation while investigations were underway. Additionally, Binance’s security team joined forces to execute an independent inquiry on the exploit, and they found two suspects that may be responsible for orchestrating the virtual heist. Binance CEO Changpeng CZ Zhao also confirmed that the intel had been sent to the Kyber team. Binance has also started coordinating with law enforcement to corner hackers quickly.
Binance’s selfless and proactive effort to help investors and crypto platforms worldwide didn’t go unnoticed, as one of the community members stated, “Binance is now playing the role of a big brother in the crypto space. Binance has gone beyond securing its platform to securing the entire crypto ecosystem.”
CZ recently spoke up against false allegations and rumors that Binance was a Chinese-based criminal entity that “secretly works for the Chinese government.” Regarding this allegation, Binance CEO Zhao said, “The greatest challenge that Binance faces today is that we (and every other offshore exchange) have been designated a criminal entity in China. At the same time, our opposition in the west bends over backward to paint us as a Chinese company.”
Conclusion
This is not the first time the crypto industry has encountered an exploit, nor will it be its last. The two largest hacks occurred this year: an Ethereum-to-Solana bridge network hack in January and Axie Infinity’s Ronin bridge in March. These two hacks alone grabbed nearly $878 million in losses for users.
