FixedFloat Cryptocurrency Exchange Hit by Second Major Breach, $2.8M Lost

FixedFloat, an automated crypto exchange, suffered another security breach, with $2.8 million stolen from its Ethereum hot wallet due to access control issues. The hacker swapped stolen assets for Ethereum and transferred them to the eXch exchange. Tether froze $400,000 worth of USDT tokens linked to the withdrawals. FixedFloat blames a third-party service provider for the vulnerability exploited.

FixedFloat Crypto Exchange Suffers Second Major Security Breach, $2.8 Million Stolen

The FixedFloat crypto exchange has been targeted by hackers once again, resulting in the theft of approximately $2.8 million worth of crypto assets. This incident marks the second major security breach for the platform in less than two months.

Hot Wallet Compromise

According to security experts, the latest attack involved the compromise of FixedFloat's Ethereum chain hot wallet. The hackers gained unauthorized access and siphoned off funds in the form of Ethereum (ETH), tether (USDT), Wrapped Ethereum (WETH), Dai (DAI), and USD Coin (USDC).

The stolen funds were subsequently swapped for Ethereum on decentralized exchanges and transferred to the eXch exchange. Following the suspicious transactions, FixedFloat suspended operations of the affected hot wallet and took its website offline for maintenance, raising concerns among users.

Previous Breach

Notably, this is not the first security breach faced by FixedFloat. On February 16, the platform suffered a similar attack attributed to the theft of $26 million worth of crypto assets due to an access control issue. The attacker managed to steal 1728 ETH valued at $4.85 million and 409 BTC valued at $21 million.

Third-Party Vulnerability

In response to the latest incident, FixedFloat has attributed the breach to a vulnerability in services provided by a third party. The team has emphasized the ongoing efforts to strengthen the exchange's security infrastructure.

User Funds Secure

FixedFloat has assured its users that only the exchange's service accounts have been affected by the financial loss. User funds and company funds are reportedly safe, and the exchange is working to maintain liquidity and ensure the continuity of its services.

Investigation Ongoing

An investigation into the hack is currently underway. FixedFloat has stated that further details will be released as the situation evolves.

Industry Concerns

The repeated security breaches at FixedFloat have raised concerns within the crypto industry. Experts have highlighted the importance of robust security measures and access control protocols to protect user funds from unauthorized access.

The incident also underscores the need for exchanges to conduct thorough vulnerability assessments and implement the latest industry-standard security practices to prevent future attacks.