Originally published on: December 03, 2024
The crypto world is buzzing with news of the liquidation of DMM Bitcoin exchange and the alarming increase in rug pulls, according to Crypto-Sec. DMM Bitcoin has announced its decision to liquidate following a devastating $320 million hack in May. However, customers can breathe a sigh of relief as their accounts and assets will be transferred to SBI VC Trade, a subsidiary of SBI Group.
The hack that shook the crypto community in May involved the theft of 4,502 Bitcoin from DMM Bitcoin’s hot wallet. Despite initial speculation surrounding the incident, DMM Bitcoin later confirmed that it was indeed a cybersecurity breach.
In a bid to restore trust and repay customers, DMM Bitcoin announced plans to raise funds for reimbursement. Meanwhile, rug pulls, or exit scams, have been on the rise, with blockchain security firm TenArmor urging caution to Web3 users.
According to a recent report by TenArmor, the number of rug pulls has seen a significant surge, with incidents involving honeypot tokens and fake versions of popular tokens. The firm advises users to thoroughly inspect token contracts and official project channels to avoid falling victim to scams.
In another alarming incident, Solana memecoin trading platform DEXX was exploited for $21 million in a recent hack. The attack has left over 900 victims reeling, with losses ranging from several thousand to over a million dollars.
On a positive note, a recent ruling by a US Federal Appeals Court has overturned a decision allowing sanctions on the crypto mixing app Tornado Cash. This landmark decision paves the way for smoother processing of Tornado Cash transactions by US-based Ethereum nodes.
As the crypto landscape continues to evolve, investors and enthusiasts must stay vigilant against scams and hacks. Stay tuned to Crypto-Sec for the latest updates and insights to navigate the ever-changing world of cryptocurrency.
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