WazirX Reverses Trades Post Major Cyberattack

WazirX, a cryptocurrency exchange, was hit by a $230 million cyberattack. In a significant move, the exchange said it would reverse all transactions. This action intends to restore the balances to their state before the attack.

After suffering a major cyberattack that resulted in the loss of $230 million, cryptocurrency exchange WazirX has taken steps to reverse all transactions and restore user balances to their pre-attack state.

The exchange will also be pausing trading and withdrawal services during the restoration process to ensure the stability of the system and prevent further issues.

WazirX to Reverse Trades Post Major Cyberattack

WazirX will be rolling back all trades executed after 1 PM IST on July 18, the day of the attack. This will effectively cancel all transactions made after the breach, and user portfolios will be reverted to their state before the attack, both in terms of cryptocurrency and Indian Rupee balances.

The exchange will also be pausing all trades executed from July 18 to July 21. All users whose trades are affected by the rollback and adjustments will be notified via email, detailing the specific trades that were executed in their accounts.

Additionally, WazirX will be compensating users for any trading charges and referral bonuses that were credited during the affected period. Customers will also be credited with points for tax incentives on such trades.

The exchange assured its community that these measures are necessary to address any imbalances created by the unauthorized access and will help in building user confidence.

As part of the restoration process, WazirX also highlighted the need for the trading and withdrawal facilities to be unavailable. This suspension prevents any new transactions from being processed, allowing for corrections to be made without impacting other restoration processes.

The exchange promised to continue providing updates on the situation and thanked its users for their support.

WazirX, Liminal Beef Up Security Post Hack

WazirX was hacked on July 18, and the exchange platform lost about $230 million in cryptocurrency. The attackers targeted the exchange’s multi-signature wallet at WazirX, although multiple devices were compromised.

While WazirX, the Indian cryptocurrency exchange, pointed towards a user interface flaw, Liminal, the multi-party computation wallet provider, stated that the attackers breached compromised WazirX devices.

Liminal’s analysis showed that the attackers spoofed a transaction hash provided by WazirX’s devices, which their server initially accepted as valid. This allowed the attackers to execute a fraudulent transaction on the Ethereum network.

The incident highlights how threats in the cryptocurrency domain are becoming increasingly sophisticated and demand stronger measures to protect against such risks.

Both WazirX and Liminal are working closely to address the risks highlighted in the attack. The exchange has promised to enhance security measures and ensure that adequate levels of protection are implemented to prevent a recurrence of the breach.

During the plan’s restoration phase, WazirX’s priority is to protect its users and optimize the affected services as soon as it is safe to do so.