In a major blow to the crypto ecosystem associated with Justin Sun, the HTX HECO Bridge fell victim to a sophisticated hack this morning, resulting in the theft of $83.4 million worth of various cryptocurrencies. The exploit was flagged by on-chain analytical systems, triggering concerns and temporary closure of deposits and withdrawals on the platform.
Confirmation from Justin Sun
The founder of the crypto exchange HTX, Justin Sun, confirmed the incident in a recent post on X, a social media platform. Sun assured users that the exchange would cover any losses incurred by the hot wallet. While the official HTX account on X has yet to make a statement, the team announced the temporary suspension of deposits and withdrawals through their official Telegram account.
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Details of the Hack
On-chain surveillance resource Lookonchain shared extensive details of the hack on X, revealing that the attackers made off with $83.4 million across eight different crypto assets. The first outflow from the HECO bridge involved 10,145 ETH worth $20.4 million, occurring at 9:59 (UTC). Subsequent withdrawals included significant amounts of USDT, Shiba Inu tokens, Huobi BTC (HBTC), Uniswap (UNI), USDC, TUSD, and Chainlink (LINK).
The stolen assets were consolidated in a central address controlled by the hacker, who then converted them into 41,434 Ethereum and moved them to other addresses. This marked a recurring pattern as seen in previous exploits within the HTX ecosystem.
Recurrence of Exploits
This recent hack on the HECO bridge is the third security breach affecting entities affiliated with Justin Sun within the past two months. In late September, Sun’s HTX exchange suffered a hack resulting in an $8 million loss, as confirmed by Sun himself. Subsequently, on Nov. 10, Poloniex, where Sun holds a majority stake, experienced an exploit, with hackers moving $120 million worth of multiple assets.
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On Nov. 18, Sun issued an ultimatum to the exploiters, giving them seven days to return the funds and receive a $10 million reward or risk legal consequences. With the ultimatum yet to expire and the funds still unrecovered, the HTX HECO bridge, an integral part of the HTX ecosystem, has now suffered another significant hack.
Concerns and Speculation
The series of exploits within Justin Sun’s ecosystem has raised concerns and speculation among industry commentators. The recurring nature of these security breaches is prompting scrutiny of the security measures and vulnerabilities within the associated platforms, leading to questions about the broader implications for the security of user funds in crypto exchanges. Authorities and the crypto community alike are closely monitoring developments as investigations into the latest hack unfold.