In Short:
A massive cyberattack has resulted in the theft of over $230 million from the Indian cryptocurrency exchange WazirX, with forensic analysis by Mandiant Solutions providing some clarity on the incident. Mandiant’s report, which focused on three key laptops used by WazirX, found no evidence of compromise in these devices, implying that the attack did not stem from internal vulnerabilities. However, the scrutiny has shifted to Liminal Custody, which managed the wallet from which the funds were stolen. Liminal has disputed Mandiant’s findings, raising concerns about the scope of the audit and defending its own security measures. This ongoing dispute has highlighted broader security concerns within the cryptocurrency industry and led WazirX to sever ties with Liminal while seeking to recover the stolen assets.
Key Points:
- A cyberattack on WazirX resulted in the theft of over $230 million from its multi-sig wallet.
- Mandiant Solutions, hired by WazirX, found no evidence of compromise on three laptops used for transactions, suggesting the breach was not due to internal system failures.
- Liminal Custody, responsible for the multi-sig wallet, has questioned the thoroughness of Mandiant’s audit and highlighted potential security gaps in WazirX’s infrastructure.
- WazirX has terminated its custody arrangement with Liminal and is migrating assets to new multisig wallets to improve security.
- Liminal has engaged additional independent auditors to further investigate and verify the security of its front-end and user interface.
- WazirX has reported the incident to the Financial Intelligence Unit (FIU) India and CERT-In, and is actively working to recover the stolen funds and pursue justice.
- The dispute between WazirX and Liminal has sparked broader discussions about security practices in the cryptocurrency industry.
