FilDA Falls Victim to $700K Exploit on SEC and REI Network

Updated: 24 April 2023

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PeckShield, a company specializing in blockchain security, has revealed via Twitter that FilDA, a decentralized finance (DeFi) platform, has been subjected to a significant attack on Elastos Smart Chain (ESC) and REI Network.

The security firm assessed the damage caused by the exploit to be in the region of $700,000. PeckShield stated that the attackers utilized a bridging mechanism to transfer roughly 80,000 Elastos tokens (ELA), valued at over $100,000, to the BNB Chain, where they exchanged them for about 326 Binance Coins (BNB). In addition, the hackers cashed out approximately 200,000 ELA tokens to Ethereum, trading some for nearly 17 ETH and transferring the ETH and the remaining 160,000 ELA coins.

#PeckShieldAlert FilDA has announced that it suffered a $700K exploit on Elastos Smart Chain (ESC) and REI Network.
The exploiters bridged ~80K $ELA to #BNBChain, swapped them for ~326 $BNB, and then deposited the funds into Tornado Cash.
In addition, they bridged 200K $ELA to… https://t.co/D0mJ8y6A0L pic.twitter.com/bZZyS4fU4l

— PeckShieldAlert (@PeckShieldAlert) April 24, 2023

PeckShield also noted that the stolen funds were deposited into Tornado Cash, an anonymous transaction service that makes it difficult to trace the funds’ origin.

FilDA, the affected DeFi platform, has released an official statement on the incident. The company reported identifying the vulnerability and isolating the attack vector, temporarily suspending ESC and REI Network to conduct a thorough review.

FilDA stated that it is collaborating with centralized exchanges, security firms, and ecosystem partners to scrutinize the on-chain activity and track the addresses associated with the exploit. The company has also alerted law enforcement agencies to investigate the case and underscore the severity of the matter.

In addition, FilDA has pledged to provide a reward to the attackers if they return all the funds that were taken. The company has reassured its users that it will remain transparent and provide updates as the investigation progresses. Furthermore, FilDA has committed to devising a plan of action to prevent similar incidents from happening in the future.

Account Hacking On Increase as Kucoin Users Lose $22,000 in Cryptocurrency Scam

There has been a surge in cryptocurrency hacking incidents lately, with the latest on April 24. A hacker gained access to the Twitter account of KuCoin, a cryptocurrency exchange, and managed to steal over $22,000 from unsuspecting users by promoting fraudulent activities. However, KuCoin has assured its users that the hacking incident was confined to its social media account and did not affect its trading platform in any way.

KuCoin reported that its social media account had been compromised for 45 minutes starting at 00:00 (UTC+2) earlier today (April 24) in an update posted on Twitter. The hacker’s actions during that time resulted in users reporting asset losses, but KuCoin assured that all verified asset losses caused by the social media breach would be reimbursed.

#PeckShieldAlert #Phishing @kucoincom Twitter handle was compromised and the scammers grabbed ~8.7 $ETH (~$16K) and 0.235 $BTC (~$6.5K)https://t.co/79lUovNl4P https://t.co/Qu7AEyMBVQ pic.twitter.com/s8rL4D4sKX

— PeckShieldAlert (@PeckShieldAlert) April 24, 2023

Twitter’s support team helped KuCoin regain control of its compromised account. KuCoin’s team identified 22 transactions associated with the hacker’s activity, including ETH and BTC, within two hours of the hack. The total value of the transactions was $22,628. The exchange examines and blocks all suspicious addresses to protect its users from further harm. KuCoin further assured that all assets on the exchange were secure and accounted for.

KuCoin has announced that they will be implementing extra security measures to strengthen the protection of their social media accounts, in addition to Twitter’s current two-factor authentication system. This comes after a recent incident that confused Kucoin’s Twitter account. The exchange is also conducting a comprehensive investigation into the matter to prevent similar occurrences in the future. The incident has had a noticeable impact on the value of KuCoin’s KCS token, which has depreciated by over 2%. As of now, the token is trading at $8.