A massive hack has recently taken place influencing a popular digital asset entity Meta Winners. As per PeckShield, a prominent blockchain security platform, the hack impacting Meta Winners-based hot wallets resulted in a loss of $4M. The blockchain security firm took to its official social media account to disclose this event.
Attacker Gets Unauthorized Access to Meta Winners-Based Hot Wallets to Drain Funds
PeckShield mentioned that the breach targeting Meta Winners included unauthorized access to the platform’s hot wallets on diverse blockchains. They take into account Solana, Base, and Ethereum. The hacker rapidly shifted stolen funds in portions through diverse platforms. These entities included ChangeNow, Binance, HitBTC, and KuCoin. The respective development has reportedly raised significant concerns about the challenges concerning asset recovery within the DeFi sector.
The hot wallets, that the exploit targeted, serve in the storage and processing of consumer transactions rapidly. Nonetheless, as they maintain an internet connection, hot wallets are prone to experience more attacks in comparison with cold storage. In the above-mentioned incident, the attacker reportedly drained off assets by circumventing the security mechanisms of the platform. In this respect, the hacker managed to conduct several transfers, shifting huge funds from the control of Meta Winners.
The Exploiter Complicates the Asset Tracking by Leveraging Blockchain Interoperability
According to PeckShield, the attacker disseminated siphoned funds across multiple networks and exchanges. With this tactic, the attacker attempted to complicate the tracking endeavors by leveraging the interoperability of the blockchain technology. The exploiter simultaneously hid the trail by moving the assets through exchanges carried out on distinct chains.
Particularly, the attacker targeted Solana and Ethereum chains, directing funds toward centralized exchanges such as Binance and KuCoin. The incident highlights the risks associated with centralized exchanges and hot wallets.
