Key Points:
- Infini Neobank Hacked, losing $49.5 million USDC due to a compromised private key. The attacker swapped assets to ETH and moved them to a new wallet.
- Infini’s co-founder assured users that all losses would be reimbursed, stating that the company has the financial capacity to cover the damages.
- The attack follows Bybit’s $1.4 billion hack, highlighting an increasing wave of crypto security breaches in 2024.
The breach is part of a growing trend in 2024, where cybercriminals exploit security lapses in the crypto sector. Infini’s hack, similar to Bybit’s $1.4 billion breach, underscores the vulnerability of centralized crypto platforms. With private key mismanagement emerging as a critical risk, industry leaders call for better security frameworks to protect users and institutional funds.
Infini Neobank Hacked, $49.5M USDC Drained in Exploit
In the early hours of February 24, blockchain security firm CertiK detected unauthorized transactions from an Infini Neobank contract on Ethereum. The attacker, who exploited a compromised private key, gained access to an Infini-related wallet and withdrew 49.5 million USDC.
According to Lookonchain, the hacker quickly converted the stolen USDC into 49.5 million DAI before purchasing 17,696 ETH. The funds were then transferred to a newly created wallet, making it difficult to track or recover them.
The breach was not due to a smart contract vulnerability but rather poor private key management, raising serious concerns about Infini’s security practices.
Infini Co-Founder Promises Full Compensation
Despite the severity of the hack, Infini’s co-founder, Christian (@Christianeth), reassured affected users via social media, promising full reimbursement. He stated that the company has enough financial reserves to cover the losses, urging users not to panic.
His message was echoed by another co-founder, @0xsexybanana, who confirmed Infini’s commitment to compensating victims. However, Infini’s official channels have yet to issue a formal statement on the incident, leaving uncertainty about the exact timeline for recovery efforts.
Growing Wave of Crypto Bank Hacks Raises Security Concerns
The Infini Neobank hack adds to a series of major security breaches in 2024, including Bybit’s $1.4 billion exploit just days earlier. In Bybit’s case, hackers manipulated smart contract logic to drain the exchange’s cold wallet. The industry’s response has been swift, with firms tightening security and working to recover stolen assets.
As Infini positions itself as a bridge between traditional banking and crypto finance, this incident underscores the risks associated with neobanks operating in the digital asset space. With rapid user growth and increasing transaction volumes, ensuring strong private key security and smart contract protections has become more critical than ever.
| DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing. |
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