The company addressed the issue in a post on X (formerly Twitter), stating, “We’re aware that one of our multisig wallets has experienced a security breach
In the early hours of Thursday, cryptocurrency exchange platform WazirX experienced a significant security breach, resulting in withdrawals exceeding $230 million. The breach compromised one of WazirX’s wallets, leading to a substantial loss of user funds.
The company addressed the issue in a post on X (formerly Twitter), stating, “We’re aware that one of our multisig wallets has experienced a security breach. Our team is actively investigating the incident. To ensure the safety of your assets, INR and crypto withdrawals will be temporarily paused. Thank you for your patience and understanding. We’ll keep you posted with further updates.”
The stolen funds represent more than 45 per cent of WazirX’s $500 million holdings, as reported in June. This incident underscores the vulnerability of even well-known platforms within the crypto ecosystem.
Edul Patel, CEO and Co-founder of Mudrex, commented on the incident, saying, “Crypto platforms must continuously upgrade their tech infrastructure and conduct frequent fund and tech audits. This incident highlights the importance of continuous monitoring and robust compliance frameworks to protect investors and maintain the integrity of the crypto ecosystem.”
The breach involved multisig wallets, which require two or more private keys to authorize and confirm transactions. Initial blockchain data from Lookonchain revealed that over $100 million in Shiba Inu (SHIB) tokens were withdrawn, marking the largest amount among the lost funds. Additionally, $52 million in Ether (ETH), $11 million in Matic’s MATIC, and $6 million in Pepe (PEPE) were also taken.
WazirX’s investigation is ongoing, and the platform is expected to provide further updates as more information becomes available.