Aneirin Flyn, spoke with Failsafe’s co-founder and CEO, Crypto.
Cryptocurrency prices occurred after one of the largest cyber warists in financial history, as the Lazarus Group of North Korea violated the Baibit’s Ethereum (ETH) cold wallet, at that time more than 400,000 atheram the atheram stolen over $ 1.4 billion.
Ben Zhou, CEO of Bibit, was early to defend the exchange. The community was informed, industry leaders raised resources for assistance, and Bibit filled the financial difference within days, restoring to normalize withdrawal.
While recovery efforts advanced through a bounty program and on-chain tracking, hackers looted the stolen funds at thousands of addresses.
Hack, exploitation, or anything else?
“It was a sophisticated social engineering attack,” Felsef CEO Anirin Flynn told Crypto.NuS. Flyn said that hackers used a similar strategy against Radiant Capital, DMM bitcoin and Wazirx.
In the case of Baibit, Jhou said that bad actors spoiled the multi -ig UI and the team inadvertently signed malicious transactions. Conclusion from A Audit Powered by Signia Labs and Verichins that Lazarar agents used a safe wallet developer’s use use, which was to cheat multi-sig saints.
This violation allowed the North Korean-Christian cyber criminals to be pushed through a malicious transaction, repaying the funds from the cold wallet of the baibit.
Multiple blind signature
The incident expressed concern about the blind signature, where users approve the transaction without fully verifying details such as destination addresses.
According to Jhou, he was the final signator and used a laser hardware wallet to authorize final approval. However, the design boundaries prevented complete transactions verification, eventually allowed hackers to steal money.
“Yes, the blind signature is an issue, but it is not the major suspect in the case,” Flynn said that when asked if it enables theft. Instead, the CEO of FailSafe pointed to the majority of centralized exchanges and large digital asset groups in the industry.
Bybit portrayed a target on his back as it stored billions of crypto in a single multi-compress and Lazarus knocked, Flynn suggested. In many addresses, the problem by dividing the property under management can cause this, Felsef’s boss said.
While more and more staff vigilance and strong transactions would have reduced the possibility of a successful theft, separating the property, the most effective way to reduce the appeal of exchange for the attackers would be the most effective way.
Aneirin flynn, failsafe co-founder and CEO
Ethereum Rollback does not solve for bybit
Maelstrom Cio Arthur Hayes suggested rolling back the blockchain of Ethereum to reverse the bybit hack, a step that would restore the transaction and wallet balance in their pre-hack state.
Hayes argued that the 2016 DAO Fork set an example for this to happen. The hackers stole $ 60 million from the atherium Dao at that time, which was a major setback for the atherium, which was still in its early stages.
DAO voted for “irregular state changes” to reduce the crisis. Ethereum was divided into two-Ethereum Classic, Dao Hack Loss with original blockchain, and Ethereum, today’s second largest blockchain.
Hayes’ idea -based short -term discussions stated that the 2016 DAO hack, an existent crisis for the atherium at that time, was different from the loss of $ 1.4 billion of the bibit, certainly a splash in the Eth Pond in the current market.
Flyn said that rolling back the atherium would break up a lot of protocols and smart contracts, given the size of the ecosystem of the ath. “Rolling atherium is technically possible through a hard fork, but is now practically disqualified due to the size, complexity and decentralization of the network.”
