Binance Seizes $5.3 Million in Connection with BtcTurk Exploit Investigation

BtcTurk has been the victim of a cyber attack that has had an impact on the cryptocurrencies stored in the platform’s hot wallets.

Richard Teng, the CEO of Binance, announced the crypto exchange’s partnership with BtcTurk, the largest Turkish crypto exchange, in order to investigate the latter’s most recent exploit. As a result, Binance froze more than $5.3 million in misappropriated funds.

On June 22, BtcTurk disclosed that the platform was experiencing a cyber-attack that impacted the cryptocurrencies stored in hot wallets. Nevertheless, the organization guaranteed that the majority of assets held in the cold wallets are secure and unaffected by the attack.

ZachXBT, a crypto investigator, suggested a potential correlation between the $54 million Avalanche transfer and the BtcTurk exploit in a subsequent X post. The address transferred 1.96 million AVAX to Coinbase via THORChain, as indicated in ZachXBT’s post. Subsequently, the address withdrew Bitcoins valued at over $46 million from Binance. The time frame in which both incidents transpired is the basis for the dubious connection between these transactions and the cyber-attack.

The post by the CEO of Binance provided insight into the exchange’s collaboration with the ongoing investigation into the breach and the stolen fund. “Teng wrote,”

As part of our proactive initiatives to safeguard the ecosystem from malicious actors, our security and investigations teams operate continuously. We will provide additional information as it becomes pertinent.

As the cyber security team’s operations progressed, BtcTurk declared that the platform’s crypto deposit and withdrawal services would resume. The platform also stated that the financial stability of BtcTurk is significantly greater than the amount of funds that were lost, and that the attack would not affect the user assets. The attack has an impact on the deposits of crypto assets, such as BTC, AAVE, ALGO, ANKR, ADA, AVX, APE, AXS, LINK, ATOM, FIL, and more, as per BtcTurk’s official announcement.

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