Mixin Network, a Hong Kong-based decentralized cross-chain transfer protocol, is sparking controversy over the revelation of a $200 million hack.
On September 23, Mixin’s cloud service provider database was compromised by hackers, resulting in the loss of $200 million in assets on its mainnet. Deposit and withdrawal services were immediately suspended in accordance with protocol. However, the developers said that transfers will not be affected as the investigation continues.
In a post dated September 25, Xue Jiang, CEO of Bitcoin mining pool BTC.TOP, said, claimed That the Bitcoin (BTC) stored in the Mixin protocol “shouldn’t have been stolen in the first place.” Jiang said Mixin’s bitcoin was typically “kept in cold storage” and was not affected by the cloud server hack threatening Mixin’s hot wallets. During its last monthly report in July, Mixin a statement A total of 9,544 bitcoins, worth approximately $253 million, are stored in its protocol.
During a live press conference on September 25, Mixin founder Xiaodong Feng He said Bitcoin was the “underlying asset” stolen, and the developers will compensate users “up to a maximum of 50%” for the stolen assets. The rest will be distributed to users in the form of “nominal liability claims” which Meixin will eventually buy back with its “future profits,” Feng said.
Founded in 2017, Mixin had nearly $400 million across 48 chains locked in its protocol before the incident, according to data. available By Devillama. The protocol allows users to send digital assets to other individuals via phone numbers. Xiaolai Li, a Chinese billionaire and early Bitcoin enthusiast, is one of the company’s first angel investors.
[Announcement] In the early morning of September 23, 2023 Hong Kong time, the cloud service provider database of Mixin Network was attacked by hackers, resulting in the loss of some assets on the mainnet. We contacted Google and the blockchain security company @SlowMist_Team…
– Mixin Kernel (@MixinKernel) September 25, 2023
Magazine: Are decentralized autonomous organizations overrated and unworkable? Lessons from the front lines
Latest news about Bitcoin, Ethereum, Blockchain, Altcoin, Litecoin, Ripple, Mining, Policy and Regulations, Cryptocurrency prices, and Technology