Duelbits.com| Casino Sportsbook| Loss back | VIP| Instant Withdraws

[avp2306]

Joe Duelbits confirmed a recent hack resulting in losses of approximately $7 million.
Services have been temporarily suspended.

Confirming a ~$7M hack. Still investigating exactly what happened and how.

Until we have clarity, Duelbits stays offline. User funds are safe.

Next steps: finish the investigation, re-top hot wallets, and bring Duelbits back online, launch Duelbits 2.0.

 I'll keep posting updates as I have them.

Attacker wallets:
0xA77e24Fe29d16E051e487ef4Ea7b056cb05aef76
TAvraZZFCZbDSZoyqWWRRsBkFgZqKaCGbK


The stolen funds have not moved much; it appears they have not yet been laundered.

There's still lots of noise towards this hacking incident and there's high chance that they are just waiting for the noise to subside down, before they made another movement with the stolen coins.

For now its good to read the plans of Duelbits, but I'm curious if they are going to chase their missing funds and try to recovers it.

Many people following more updates and well see on how they find solution in this unfortunate issue happened in their casino.

[PERtua]

~
Hacking incidents is so rampant today. I think its time for casinos and other financial platform to check their site if there's something that need to fix.

Casinos and exchanges do that all the time, security of the wallet is one of the big role to keep it going to run a casino successfully in the long term even if they do all that, just one mistake can result them into this and we don't know when it will happen that is why no custodial service is safe to keep our cryptos.

Sometimes this kind of exploit can come from external factors, like the license providers data getting stolen, or even games provider's, but now that this incident come in the midst of a wide spread of data branches that happens recently, it quite expected for big crypto casinos and exchanges to get hit in one way or the other, between I believe other platforms will be taking extra security measures to keep their hot wallets  protected and the overall site security.

I agree that no matter how secure a custodial platform is, they cannot guarantee complete security. The vulnerability may not necessarily be at the casino, but in a third party service provider, in the casino's credentials or in another third party service used by the casino. That's why regular security audits, access controls and effective hot wallet exposure control are all so important. Users should also keep in mind that any funds held on a custody platform will be held on trust with that platform and that the platform will always be the one that is responsible for keeping those funds safe. While good security will minimise the risk, it will not eliminate it.

[SquirrelJulietGarden]

To keep you updated about what's happened, there are some latest updates from Duelbits as well as the co-founder Joe.

Duelbits posted 17 hours ago.

We’re currently investigating a security incident affecting the site. As a precaution, the site has been taken offline while we investigate and work to ensure it is safe to restore service.

A newest update from Joe, 7 hours ago.
https://x.com/DuelbitsJoe/status/2103252719217627325

We’ve identified what happened.

An official statement will follow within 24 hours.

User funds are safe. Duelbits will be back stronger than ever. Ignore the FUD.

Duelbits 2.0 is close.

The site should be back up within ~15 hours.

We’re rebuilding our deposit and withdrawal servers to make sure everything is 100% secure.

Sorry for the downtime. A few people ruined it for everyone else — we’re making sure it doesn’t happen again.

[TopTort777]

https://x.com/DuelbitsJoe/status/2103116878986010688

$7 mil is a lot of fucking money, i hope it doesn't affect them that much.

Such financial hit and website under maintenance can ruin whole business, as casinos are very dependable from stable and unstoppable cashflow, as money are always in turnover. Casino is not kind of a business where you hold most of the money in reserve and operate only with certain amount. 7 millions, that a lot. I only wonder whos money were stolen. From Duelbits balance addresses or those were gamblers money that were kept on various addresses? Official statement might state that they have lost own funds, but we will never know whos funds were really stolen, which addresses were devastated.

[Haunebu]

Looks like their website is back up and running though I am unable to login implying that it's still not fully back to normal yet which makes sense considering the large scale of the hack. Am not expecting them to be able to recover the funds.

People expecting them to recover the missing funds have no idea how complicated the whole process is and how smart such hackers truly are. Major security lapse.

[julerz12]

According to 'Tanzanite', Duelbits weekly, monthly and yearly deposit volumes are respectively $6.3 million, $26 million and $196 million. So, $7 million is obviously a good part of their yearly revenue.

So, less than 10% of their yearly revenue. I guess that's why they are confident in saying the users' funds are safe. These guys could easily come back, probably just within a couple of days. Although, they might lose a couple of normal users and highrollers (trust issue and all that) but I'm sure they'll come back stronger soon enough.
BTW, DuelBits had their license from Curacao right? You guys think this is perhaps connected to that recent hacking incident in Curacao Gaming Authority? I do hope it isn't 'cause that would be terrifying to all other online casinos linked to CGA.

[hmbdofficial]

Such financial hit and website under maintenance can ruin whole business, as casinos are very dependable from stable and unstoppable cashflow, as money are always in turnover. Casino is not kind of a business where you hold most of the money in reserve and operate only with certain amount. 7 millions, that a lot. I only wonder whos money were stolen. From Duelbits balance addresses or those were gamblers money that were kept on various addresses? Official statement might state that they have lost own funds, but we will never know whos funds were really stolen, which addresses were devastated.

While I also read a report from duel bit stating the reason for putting the site offline for while, since the hot wallet was compromised. In their report they said that user should not panic and their funds are safe. Is it duelbit taking full responsibility? Because in my thoughts if the hot wallet was compromised all users fund should also be involved ask well.

[Asuspawer09]

~

Since this was already confirmed by dualbits, this was a huge lost for them seven million was just a huge amount and would affect them for sure. Visited the website and they were still on maintenance.. hopefully they could bounceback from this loss easily.

Seems like they are going to another hacking incident I remember they already have a lost millions in 2024, but able to go back from that, Yesterday I think there were hacking as well on Bidget exchange, seems like hacking is getting popular again on crypto and it just giving us a good simple lesson i guess to not put a huge lot of funds on centralized platforms. I mean there are for sure risk on any wallets, but I guess it's better to stick on a much safer wallets where you could put your funds in.

For sure there are a lot of users that would still play and dualbits could easily comeback from this but for sure there were going to be a collapse on users since it's a security issue, users may laylow for now.

[Free Market Capitalist]

According to 'Tanzanite', Duelbits weekly, monthly and yearly deposit volumes are respectively $6.3 million, $26 million and $196 million. So, $7 million is obviously a good part of their yearly revenue.

So, less than 10% of their yearly revenue.

At first glance, it seems that way, but does anyone know what the net profit is that can be derived from that revenue?

Gemini estimates that the net profit on those deposits is between $10 million and $22 million. Losing $7 million means losing almost all of the net profit for the year—or a third of it, depending on the exact figure. It’s manageable for a casino of that size that’s well-managed, but it’s still a bummer and a big dent in its finances.

[DPHOR]

To keep you updated about what's happened, there are some latest updates from Duelbits as well as the co-founder Joe.

Duelbits posted 17 hours ago.

We’re currently investigating a security incident affecting the site. As a precaution, the site has been taken offline while we investigate and work to ensure it is safe to restore service.

A newest update from Joe, 7 hours ago.
https://x.com/DuelbitsJoe/status/2103252719217627325

We’ve identified what happened.

An official statement will follow within 24 hours.

User funds are safe. Duelbits will be back stronger than ever. Ignore the FUD.

Duelbits 2.0 is close.

The site should be back up within ~15 hours.

We’re rebuilding our deposit and withdrawal servers to make sure everything is 100% secure.

Sorry for the downtime. A few people ruined it for everyone else — we’re making sure it doesn’t happen again.

I have always believed to see Duelbits as one the most trusted and reliable casino that is even rated with the number One casino out there as Stake.com, coming across this broke my heart as most times some of the hacks that usually happens could likely come from an internal staff which they are meant to do their thorough investigation, thus; I could be wrong but most times it doesn't exceed coming from an insider. It's so sympathetic hearing that such a whooping amount was hacked and stolen from them,
. If it was some other new casinos they could have ceased operation till further noticed but yet, they just gave few hours to start their operations fully back and stronger. Respect to the CEO Joe.

[arwin100]

According to 'Tanzanite', Duelbits weekly, monthly and yearly deposit volumes are respectively $6.3 million, $26 million and $196 million. So, $7 million is obviously a good part of their yearly revenue.

So, less than 10% of their yearly revenue.

At first glance, it seems that way, but does anyone know what the net profit is that can be derived from that revenue?

Gemini estimates that the net profit on those deposits is between $10 million and $22 million. Losing $7 million means losing almost all of the net profit for the year—or a third of it, depending on the exact figure. It’s manageable for a casino of that size that’s well-managed, but it’s still a bummer and a big dent in its finances.

That figures shows how volatile the earnings of the casino.

A massive $7m losses from hacking issue can possibly turn their profitable year to a miserable or break even situation.

Yeah even if they say they can afford to absorb those losses. But in the background their finances has been badly hurt by that incident. So best to secure their casino, to avoid any similar incident which can cost much bigger losses in future.

[Mahdirakib]

At first glance, it seems that way, but does anyone know what the net profit is that can be derived from that revenue?

It is hard to guess the net profit of a casino. Duelbits has a lot of games with different house edge. Let's assume the effective average house edge of the games is 3%. If the total deposited funds are wagered 5 times on average, then the total wager volume becomes $1 billion. Which makes the GGR around $30 million. Duelbits is spending at least 60% to 70%  of that GGR on bonuses, affiliate commissions, sponsorship deals, game providers commission, etc. So, their net profit could be above $10 million. The net profit could be more if the deposited funds are wagered more than 5 times on average.

[Haunebu]

At first glance, it seems that way, but does anyone know what the net profit is that can be derived from that revenue?

Gemini estimates that the net profit on those deposits is between $10 million and $22 million. Losing $7 million means losing almost all of the net profit for the year—or a third of it, depending on the exact figure. It’s manageable for a casino of that size that’s well-managed, but it’s still a bummer and a big dent in its finances.

Firstly, deposit volumes don't equal revenue which is why these figures don't really make much sense at all. Secondly, their net profit is probably lower than that figure though we are all just assuming. They definitely took a big hit financially thanks to the hack.

Thirdly, I am expecting them to bounce back and I do not think that this hack and the Curacao one are related at all.

[Upgrade00]

Looks like the website is back up and running though I am unable to login implying that it's still not fully back to normal yet <snip>

It is still down and from the latest update the co founder gave it will have a little bit more downtime to make sure everything is running smoothly before coming back up. This is expected considering it took a while to discover what went wrong and would have taken some more time to fix it and trouble shoot everything.

When it's back up and get 2.0 running too, this should start to fade away quickly.

People expecting them to recover the missing funds have no idea how complicated the whole process is and how smart such hackers truly are. Major security lapse.

Best case scenario is to try and complicate it as much as possible for the scammers to convert to fiat, but a recovery is almost impossible. Has to follow an actual arrest when and if there are any suspects.

[masulum]

-snip- Am not expecting them to be able to recover the funds.

-snip-

For most businesses that already have large user bases, these companies usually have reserve funds to handle situations like this. Hacking is indeed becoming a real threat to most businesses that handle millions in funds, and most of cases of hacking make it difficult for companies to survive. However, if Duelbits owners are confident that user funds are safe, that means this company is capable of returning the $7 million lost from the hacking incident.

we will see the next updates, if they already have enough reserves, everything will be find, and users who affected from this case will get their money back. if Duelbits able to recover from this situations, they will become more stronger.

[famososMuertos]

:://:::

When it's back up and get 2.0 running too, this should start to fade away quickly.
:::///::::
Best case scenario is to try and complicate it as much as possible for the scammers to convert to fiat, but a recovery is almost impossible. Has to follow an actual arrest when and if there are any suspects.

And the version 2.0 update had been announced for a while; for instance, this recruitment message is from September 4th:

DuelBits 2.0 launches in ~20 days.

Hiring now:
• Head / Director of VIP — salaries up to $200k/yr
• VIP Hosts (Senior & Junior) — salary negotiable
• Support staff

Anyway, let's hope they resolve this as soon as possible and keep Duelbits 2.0 on track as planned.

[Hispo]

Looks like their website is back up and running though I am unable to login implying that it's still not fully back to normal yet which makes sense considering the large scale of the hack. Am not expecting them to be able to recover the funds.

People expecting them to recover the missing funds have no idea how complicated the whole process is and how smart such hackers truly are. Major security lapse.

If those responsible for this hack are hackers from north Korea, then there is no way for Duelbits to recover their money.
The only chance Duelbits has, it would be if those hackers were from some western country and they committed some mistake which would give their location to authorities and experts on chain analysis.

There is also a good chance those hackers are from Russia. If they are from Russia then it is likely they won't get captured either, as the Russian government is specially famous for not prosecuting hackers and cyber criminals, as long as they committ their crimes against foreign services, banks, casinos and other entities.

Anyways. The best thing Duelbits can do is trying to recover their money from keeping their gamblers happy in the long term.