LCX exchange's hot wallet was hacked, $6.8M in total

[Imran232]

                                                   Tweet link
     
LCx Tweet link

This is really bad news for LCX users. Who has holded in LCX? Let me know if you also lost your fund. I'm now looking forward to the LXC team's next announcement about the users' fund.

[batang_bitcoin]

The volume for that exchange isn't a lot but that amount is not small. Whenever an exchange gets hacked, it's time for them to reassess their security and invest more on it.
If they're handling millions of funds on their exchange and cold wallet, they have to invest more in their security to protect the holdings that they currently have. On a 7D chart, it's on a going down pattern.

[kotwica666]

The volume for that exchange isn't a lot but that amount is not small. Whenever an exchange gets hacked, it's time for them to reassess their security and invest more on it.
If they're handling millions of funds on their exchange and cold wallet, they have to invest more in their security to protect the holdings that they currently have. On a 7D chart, it's on a going down pattern.

A few million dollars in a hot wallet is not a small amount for such a little-known exchange. In my opinion, it is a bit strange that they kept so much in the hot wallet.
From the attached screenshot, we can see that all stolen coins are on the Ethereum platform. I wonder what backdoor hackers found, because if it is not an exchange bug, ETH may expect further price drops.

[vv181]

I wonder what backdoor hackers found, because if it is not an exchange bug, ETH may expect further price drops.

It is unlikely the backdoor is on the Ethereum part, if it so, the news and the lost fund would be so much bigger. It is safe to say that it is just how bad that exchange operated as a result, their customer funds getting stolen. Yet again a time to reiterate of "not your keys, not your coins".

Looking at their Twitter, looks like there is an update regarding the hack:

Information source Incident update: At 11:23 PM CET on Jan. 9th 2022, LCX’s Technology team detected unauthorized access of one crypto wallet. A total of approx. 7.94M USD of crypto assets were stolen. 0.7M USD have been frozen. All other LCX wallets are not impacted.

Hot Wallet Incident Report

[Daltonik]

The year has just begun and a hacker attack on the exchange has already been reported, you can start collecting statistics for 2022, hackers managed to steal $14 billion last year , I hope that in this case the LCX exchange will compensate users for their losses.

[batang_bitcoin]

The volume for that exchange isn't a lot but that amount is not small. Whenever an exchange gets hacked, it's time for them to reassess their security and invest more on it.
If they're handling millions of funds on their exchange and cold wallet, they have to invest more in their security to protect the holdings that they currently have. On a 7D chart, it's on a going down pattern.

A few million dollars in a hot wallet is not a small amount for such a little-known exchange. In my opinion, it is a bit strange that they kept so much in the hot wallet.
From the attached screenshot, we can see that all stolen coins are on the Ethereum platform. I wonder what backdoor hackers found, because if it is not an exchange bug, ETH may expect further price drops.

Hackers will get in for every possible hole that they see into the system of their target. Well, better not to know about that as it's their job to protect themselves and their user's money after all. A million is a million and even it's a hundred thousand dollars, that's still a lot of money.
Whether it's from their personal capital or users deposits, they should have to prioritize their next move so that this won't happen again.

[Raflesia]

The year has just begun and a hacker attack on the exchange has already been reported, you can start collecting statistics for 2022, hackers managed to steal $14 billion last year , I hope that in this case the LCX exchange will compensate users for their losses.

No matter how tight LCX is, of course there is a gap for hackers to enter, but this is an unexpected thing to lose so much money from LCX's hot wallet.
It's certain however that LCX will have to pay compensation to the users who suffered the loss.

I used to want to use LCX but there are other reasons that KYC fails and never works, and I think they are very strict on security.

[leea-1334]

So has anyone come in to check if the exchange is really hacked or are they using this as an excuse to steal funds from their users? Never heard of LCX until now but you know how it goes. Even MtGox could never truly prove they were hacked.

When do people learn not to leave crypto on exchanges? I guess no number of hacks will ever teach this lesson.

[arwin100]

So has anyone come in to check if the exchange is really hacked or are they using this as an excuse to steal funds from their users? Never heard of LCX until now but you know how it goes. Even MtGox could never truly prove they were hacked.

When do people learn not to leave crypto on exchanges? I guess no number of hacks will ever teach this lesson.

As long as there are appealing offers given to their community this exchange hackings will never stop, I expect that many same like incident will occur in future knowing how huge the amount of money what the exchange hold to their costumers so its good for users not to let their huge amount of money sleep on their exchange account wallet since chances for another like this to happen is so high.

[carlfebz2]

This is really bad news for LCX users. Who has holded in LCX? Let me know if you also lost your fund. I'm now looking forward to the LXC team's next announcement about the users' fund.

"Not your keys, Not your coins"

People should always bare this line into their minds whenever they do tend to trust up on depositing on centralized platforms like exchangers out there.You wouldnt know on when hacks do happen
and speaking with this exchange name then this is my first time on hearing it which means this one isnt that popular and why people do really always love to deal up with these places?

Feel sorry for those users who had been affected.This is one of the things you should really be aware off speaking of risks.

[Findingnemo]

I never used this exchange but sorry for the people who held funds there and lost them, because chances of retrieving them is literally not possible but the exchange team needs to give proper explanation about how the hacker managed to access their crypto wallet. Better use the bigger exchanges so you can feel safe because they can able to return the hacked funds which is what happened to Binance users but never hold funds in any exchanges.