Attack On These 2 Cryptocurrency Platforms: Withdraw Your Money!

Some attacks have emerged in the ecosystem of Algorand behind the popular cryptocurrencies ALGO. MyAlgo wallet urged users not to use the platform as a result of an attack in the past weeks. Now, Algodex has revealed that a company wallet has been hacked. Here are the details…

Cryptocurrency platforms suffer from attacks

As we reported as Kriptokoin.com, Algorand-based wallet provider MyAlgo reported on a security breach in February. Soon after that, he then urged users to withdraw their money again. Meanwhile, decentralized exchange Algodex revealed in a Twitter post that a malicious actor had infiltrated a corporate wallet on March 5 in a move that “seems similar to what is happening in the Algorand ecosystem right now.”

In a post shared on March 6, Algodex announced that a malicious actor had infiltrated a company wallet in the early hours of the previous morning. According to Algodex, precautions were taken prior to the attack, including moving the bulk of USDC and treasury tokens ALGX to safe locations. However, the leaked wallet was tied to Algodex’s liquidity rewards program and was responsible for providing extra liquidity to the ALGX token.

“This resulted in the malicious actor being able to remove Algo and ALGX from the Tinyman pool we created to provide additional liquidity to the ALGX token,” Algodex said. The exchange stated that it received $25,000 in ALGX tokens to provide liquidity rewards. However, he stated that this would be fully compensated. He added that the total loss from the theft was less than $55,000, but the liquidity of Algodex users and ALGX were not affected.

MyAlgo reiterated its warning

Meanwhile, MyAlgo, the wallet provider of the Algorand network, has renewed its warnings to users to withdraw their assets or transfer their funds to new accounts as soon as possible. Multiple alerts have been issued following a security breach on MyAlgo that occurred between February 19 and February 21, resulting in approximately $9.2 million in losses. On February 27, the MyAlgo team tweeted a warning that a targeted attack had been carried out “against a group of large MyAlgo accounts” last week.

The wallet provider also stated that the cause of the wallet attack was unknown and encouraged “everyone to take precautionary measures to protect their assets” by transferring funds or re-encrypting accounts. John Wood, chief technology officer of the Algorand Foundation, the network’s governing body, said on Twitter that same day that around 25 accounts were affected by the exploit. “This is not the result of a fundamental issue with the Algorand protocol or SDK,” he said at the time. Currently, ALGO price is changing hands at $0.22 and has been moving sideways in the last 24 hours.