Indonesian crypto exchange Indodax shuts down its platform following a $22 million breach targeting hot wallets, impacting Bitcoin, Ether, and other cryptocurrencies.
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Indonesian cryptocurrency exchange Indodax temporarily halted operations after experiencing a security breach that resulted in the theft of approximately $22 million in various digital assets, including Bitcoin, Ether, Tron (TRX), and Polygon (POL). The company has disabled its web and mobile platforms to investigate the incident further.
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On September 11, several blockchain security firms, including PeckShield, Cyvers, and SlowMist, identified unusual activity involving Indodax’s hot wallets. The hacker managed to steal substantial amounts of cryptocurrencies, including $1.42 million in Bitcoin, $2.4 million in TRX, $14.6 million in ERC-20 tokens, $2.58 million in POL, and $900,000 in Ether from the Optimism network.
Cyvers reported over 150 suspicious transactions across multiple blockchains, noting that the hacker began converting the stolen funds into Ether. In similar cases, hackers often use anonymization tools like Tornado Cash to obfuscate their activities.
Related: Major WazirX Hack: $6 Million Transferred Through Tornado Cash, Brazil's Supreme Court Blocks X
In response to the breach, Indodax released a statement informing its users of the temporary shutdown of all services. The company assured investors that their assets remain secure, despite ongoing investigations. Yosi Hammer, head of AI at Cyvers, suggested that the attack may have been carried out by North Korea’s notorious Lazarus Group, known for previous high-profile crypto hacks.
Related: Hacker Transfers $57M in Stolen WazirX Funds to New Wallets
Indodax holds a reserve balance of $369 million, which may be utilized to cover potential losses for investors, according to recent data. As cyber threats targeting the crypto industry continue to rise, Indodax joins the growing list of exchanges impacted by such attacks.
Michael has been a vital voice in crypto security, focusing on blockchain vulnerabilities and emerging technologies. With a background in cybersecurity and fintech, he ensures our readers stay informed on safeguarding their assets while exploring new opportunities in the crypto space.
