The popular cryptocurrency wallet Atomic wallet recently suffered a serious security breach resulting in the loss of approximately $10 million in user funds.
The team responsible for the wallet released an update on Saturday, saying they are investigating the cause of the exploit and promise to share more information as it becomes available.
Launched in 2017, Atomic Wallet is widely used as an app for both desktop and mobile users. Like many self-custodial wallets, users can keep their cryptocurrencies private keys.
In addition, users can deploy their assets across different networks and connect to decentralized finance (DeFi) applications.
We have received reports of compromised wallets. We are doing everything we can to investigate and analyze the situation. As soon as we have more information, we will share it accordingly.
For questions and comments, please contact support@atomicwallet.io
— Atomic – Crypto Wallet (@AtomicWallet) June 3, 2023
User cryptocurrencies are disappearing
Atomic Wallet has about five million users and it remains to be seen how many of them have been affected by the recent security breach. Some users have reported no losses but may consider moving their assets as a precaution.
While Atomic Wallet has yet to officially disclose the total amount of user funds lost in the exploit, blockchain expert ZachXBT has estimated the losses to be around $10 million.
It easily stole $10 million+
— ZachXBT (@zachxbt) June 3, 2023
This number was calculated based on alleged losses of individual users, the largest of which was 2.8 million Tether (USDT).
It is still unknown how exactly the Atomic Wallet was hacked. However, reports suggest that the incident may be related to security vulnerabilities that have not been addressed since February 2022.
In a now-deleted post, security firm Least Authority revealed that it had discovered several critical vulnerabilities in Atomic Wallet.
At the time, the independent security research team stated that it had not received an adequate or timely response from the wallet’s developers.
The Least Authority released this information to alert users to the existence of significant vulnerabilities to prevent them from putting themselves at further risk.
Atomic Wallet said it was working hard to address this security breach and strengthen its platform. Affected users should stay tuned for updates from the wallet team and consider taking additional security measures to protect their assets.
The breach highlights the importance of choosing cryptocurrency wallets carefully and staying abreast of security measures put in place by service providers.
Source: Live Coins
Barry Siefert is an accomplished journalist and author at The Nation View. He is known for his expertise in the field of cryptocurrency, and has written extensively on the topic. With a background in finance and economics, Barry has a deep understanding of the underlying technology and market forces that drive the crypto industry.
