While everyone was celebrating Halloween, a hacker planned out a Halloween heist and tricked the hot wallets of the Deribit crypto exchange, and treated themself to $28 million in BTC, ETH, and LTC.
Deribit has issued a statement that client funds are safe and loss is covered by company reserves. They assure that client asset, Fireblocks or any of the cold storage addresses are not affected. It’s a company procedure to keep 99% of user funds in cold storage to limit the impact of these types of events.
Deribit also points out that the hack is isolated & quarantined to their BTC, ETH, and USDC hot wallets.
To properly assess the hack, Deribit is performing security checks and has to halt withdrawals, including third-party custodians Copper Clearloop and Cobo, until they are confident about security.
For the deposits that have already been sent will still be processed, and after the required number of confirmations, they will be credited to accounts. Moreover, they have raised the minimum number of confirmations for the moment causing a delay in crediting funds. Deribit requests users not to send new deposits until they open wallets again.
Deribit also assures that the insurance fund will not be impacted, and company reserves will pay the loss. Deribit remains in a financially sound position, and ongoing operations will not be impacted.
Also Read:Â Mango Markets Joins the $100 Million Hack Club
