News

Kraken Bug Bounty Program Helps Exchange Detects Extremely Critical Vulnerability

Key Points:

  • Kraken identified and quickly resolved an “extremely critical” vulnerability on June 9, preventing unauthorized balance increases without compromising customer assets.
  • The bug allowed malicious actors to initiate deposits and withdraw funds under specific conditions, resulting in a $3 million loss from Kraken’s funds, not affecting customer assets.
  • Chief Security Officer Nick Percoco assured users of enhanced security measures post-incident with the Kraken Bug Bounty program being effective.
Kraken Exchange’s Chief Security Officer, Nick Percoco, recently addressed a significant security incident following the discovery of an “extremely critical” vulnerability in their platform.

Critical Security Vulnerability Discovered Thanks to Kraken Bug Bounty Program

On June 9, the Kraken Bug Bounty program was announced from a researcher highlighting the exploit. Initially, details were scant, but the vulnerability allowed for unauthorized balance increases on the platform without endangering customer assets.

According to Percoco, the issue stemmed from a specific bug that enabled malicious actors to initiate deposits and receive funds without completing the process under certain conditions.

Kraken Enhances Security Measures Following Swift Resolution

Although Kraken swiftly categorized the vulnerability as “extremely critical,” they acted promptly, resolving the issue within just 47 minutes of its discovery. A comprehensive investigation revealed that the exploit affected three accounts, resulting in the withdrawal of approximately $3 million from Kraken’s own funds, not affecting customer assets.

Percoco emphasized that such vulnerabilities are swiftly addressed, despite occasional false bug reports received under the Kraken Bug Bounty program. Following the incident, Kraken has reinforced its security measures to prevent similar occurrences in the future.

The exchange assured its users that their assets remained secure throughout the incident and reiterated its commitment to maintaining robust security protocols. With the issue fully resolved within hours of detection, Kraken continues to operate without disruption.

Harold

With a passion for untangling the complexities of the financial world, I've spent over four years in financial journalism, covering everything from traditional equities to the cutting edge of venture capital. "The financial markets are a fascinating puzzle," I often say, "and I love helping people make sense of them." That's what drives me to bring clear and insightful financial journalism to the readers of Coincu.

Recent Posts

Gate.io Shatters Records in Total Trading Volume in Q3 2024, with Its User Base Surpassing 17 Million

In the third quarter of 2024, despite a challenging market environment, Gate.io maintained strong growth…

1 hour ago

MEXC Champions the Future of Crypto Content Creation at CCCC

MEXC is proud to partner with the inaugural Crypto Content Creator Campus CCCC event, taking…

1 hour ago

Dtec Announces Global Partnership with DİZAYNVIP to Elevate AI-Driven Mobility Design  

Dtec and DİZAYNVIP partner to merge AI technology with luxury vehicle design, revolutionizing smart mobility…

2 hours ago

Bitcoin Spot ETF Outflows Reach Second Highest in History

Bitcoin Spot ETF Outflows hit $541M on November 4, the second-highest single-day outflow in history.…

7 hours ago

PropiChain’s Token Presale Turns Heads as the First DeFi Platform to Merge NFTs with AI 

The hype around PropiChain’s token presale is due to its innovative integration of NFTs and…

9 hours ago

UK Pension Fund Cartwright Encourages 3% Allocation to Bitcoin Investment

UK pension fund Cartwright advised the country's first defined benefit pension fund to allocate 3%…

11 hours ago

This website uses cookies.