Elliptic, which specializes in investigating activities related to blockchain technology, recently reported that the amount of money lost by users of a digital wallet called Atomic Wallet has exceeded $100 million. It appears that the wallet was targeted in a hacking incident.
Atomic Wallet is a type of software that allows users to store and manage various cryptocurrencies. However, it seems that hackers were able to gain unauthorized access to the wallet and steal funds from its users.
They found evidence suggesting that the losses suffered by Atomic Wallet users have now surpassed $100 million. This means that a significant amount of money has been taken from the people who used this particular digital wallet.
On June 3, the wallet provider acknowledged that they had received reports of compromised wallets and confirmed that a small percentage of its active users had been affected. However, since then, the provider has not provided any further updates regarding the incident.
On June 3, the wallet provider acknowledged that they had received reports of compromised wallets and confirmed that a small percentage of its active users had been affected. However, since then, the provider has not provided any further updates regarding the incident.
According to Elliptic, they have been tracking more than 5,500 wallets that were likely targeted in the recent attack. They have attributed the responsibility for the attack to the Lazarus Group, a hacking association believed to be associated with North Korea. This incident marks the Lazarus Group’s first significant cryptocurrency theft since the exploitation of the Horizon Bridge, which resulted in a $100 million loss approximately a year ago.
The Lazarus Group has gained notoriety for its involvement in various cybercriminal activities, including hacking, ransomware attacks, and financial theft. This group has previously targeted financial institutions, government organizations, and cryptocurrency platforms with the intent of stealing funds.
“Since the theft took place, Elliptic has been working to retrieve the stolen assets,” Elliptic said. “Our team has partnered with several investigators and exchanges around the world to trace and freeze the stolen funds. This has led to over $1 million in stolen assets being frozen.”
The thief involved in the Atomic Wallet hack has reportedly altered their tactics and is now attempting to launder the stolen assets through the Russian cryptocurrency exchange called Garantex. Laundering refers to the process of making illegally obtained funds appear legitimate by disguising their origins.
The U.S. government has officially linked the Lazarus Group to the notable Ronin exploit, which led to the theft of approximately $600 million worth of digital assets from the Axie Infinity sidechain. This association confirms the involvement of the Lazarus Group in yet another significant cyberattack.
The Axie Infinity sidechain theft gained widespread attention due to the substantial amount of digital assets stolen. The Lazarus Group, believed to be affiliated with North Korea, has been recognized as the perpetrator of this exploit.
“I’m afraid we have no insights into the underlying exploit,” Elliptic’s Chief Scientist and co-founder Tom Robinson told The Block. “It’s becoming clear that this is a major crypto heist, and most probably another significant success for North Korea’s Lazarus Group. They had been relatively quiet since last year’s Horizon bridge hack, but this shows that they are still actively targeting the crypto ecosystem.”
