By Philip Maina
23 hours agoTue May 14 2024 10:55:24
Reading Time: 2 minutes
- Rain has responded to claims it had been hacked and lost more than $14 million
- Rain said that it’s working with law enforcement agencies to track the malicious actors
- The hack was first reported by on-chain sleuth ZachXBT
Cryptocurrency exchange Rain has acknowledged claims it was hacked for over $14 million saying that it’s working with “top global law enforcement and intelligence agencies” to track the malicious actor and the funds. The exchange added that it had restored all of its services although some of its users have complained that not all services are fully back online. Rain’s response attracted backlash from the community with some saying that it only responded because ZachXBT unearthed the hack, raising questions of whether it knew about the hack before ZachXBT’s revelations.
Multiple Bitgo Wallets Involved?
Rain said that it remains “committed to the crypto ecosystem,” adding that its customers are a top priority. According to ZachXBT, the hack took place towards the end of last month, with the hackers siphoning BTC, ETH, SOL and XRP in various amounts.
.@rain is safe and all services continue to run as normal. Buy, sell, deposit, withdraw, send, and receive as you always have. All customer funds are 1:1 and secured.
We are cooperating fully with top global law enforcement and intelligence agencies in their investigation to… https://t.co/szj2m1L7Ca
— Yehia | يحي (@YehiaBadawy) May 13, 2024
The blockchain sleuth disclosed that some of the coins were swapped for BTC and ETH with the BTC address holding 137.9 BTC while the ETH address holds 1,881 ETH worth $8.6 million and $5.5 million respectively.
An analysis by Arkham Intelligence disclosed that the ETH address received funds from multiple Bitgo multi-signature wallets.
The Munchables Lost $62 Million in Hack
The hack comes two weeks after blockchain security firm Certik reported that losses from scams and hacks dropped by around 140% in April. Certik noted that losses from crypto platform exploits were only $21 million in April.
It also comes at a time when malicious actors in the crypto space have been increasing their attention on crypto bridges, DeFi protocols and web3 games. The Munchables NFT game is among the latest blockchain games to be exploited, losing $62 million.
With Rain not admitting how much was lost and whether it’ll share a postmortem report of the incident, it may be hard to know what actually happened.
