U.S. markets close in 18 minutes
  • S&P 500

    3,631.45
    +53.86 (+1.51%)
     
  • Dow 30

    30,011.52
    +420.25 (+1.42%)
     
  • Nasdaq

    12,027.07
    +146.43 (+1.23%)
     
  • Russell 2000

    1,854.62
    +36.32 (+2.00%)
     
  • Crude Oil

    44.85
    +1.79 (+4.16%)
     
  • Gold

    1,803.10
    -34.70 (-1.89%)
     
  • Silver

    23.20
    -0.43 (-1.81%)
     
  • EUR/USD

    1.1891
    +0.0045 (+0.38%)
     
  • 10-Yr Bond

    0.8820
    +0.0250 (+2.92%)
     
  • GBP/USD

    1.3353
    +0.0031 (+0.23%)
     
  • USD/JPY

    104.5300
    +0.0420 (+0.04%)
     
  • BTC-USD

    18,962.49
    +510.52 (+2.77%)
     
  • CMC Crypto 200

    377.07
    +7.31 (+1.98%)
     
  • FTSE 100

    6,432.17
    +98.33 (+1.55%)
     
  • Nikkei 225

    26,165.59
    +638.22 (+2.50%)
     

This Crypto Startup Hacks Its Own Users’ Wallets to Rescue $13 Million

Ryan Smith
Cryptocurrency developer Komodo, ingeniously, beats an exploit by hacking its own wallet to save users' funds. | Source: Shutterstock
Cryptocurrency developer Komodo, ingeniously, beats an exploit by hacking its own wallet to save users' funds. | Source: Shutterstock

By CCN: Better the thief you know than the one you don’t. Cryptocurrency platform Komodo has had to hack its users after discovering a serious security flaw in one of its wallets.

According to a press statement by the blockchain startup, Komodo’s cybersecurity team was able to ‘sweep’ in and retrieve 8 million Komodo coins (KMD) and 96 Bitcoin before hackers got hold of the exposed loot. An estimated $13 million worth of cryptocurrency was saved in the process.

A video on YouTube reveals how bad actors could have potentially gained access to Komodo users’ private keys:

Funds are Safe and Sound But Still Centralized

The Komodo team has moved all funds to two company-owned wallets in the meantime:

Owners can claim them back in the coming weeks as the details are ironed out. Komodo urged affected users to get in touch via their Discord channel:

Komodo refunds. Hacks its users.
Komodo refunds. Hacks its users.

Plans are in the works to refund Komodo users. Source: Twitter.

Read the full story on CCN.com.