The Binance security team is working with law enforcement to track the culprits.
Major crypto exchange Binance has identified two suspect addresses in the frontend exploit the KyberSwap Network suffered on Thursday.
Around 3 pm on the first of this month, the Kyber team noticed some unusual activity in its front end. Further investigation revealed it to be a malicious code in the decentralized exchange’s Google Tag Manager (GTM). Bad actors had used this to hack into the platform, consequently gaining access to two whale accounts and stealing over $260,000. The Kyber team reported the exploit on Twitter, promising to compensate the affected wallets. As part of its mitigation attempts, KyberSwap also offered the hacker a 10 percent bounty of the stolen funds if they returned them.
Two hours after the hack, Kyber had cleared its system of the malicious code and encouraged its users to proceed with transactions cautiously. The platform warned other DEXes to examine their frontend code and connected GTMs just in case the attack was widespread.
Binance Offers Help, Again
However, Binance CEO, Changpeng Zhao, tweeted on September 3rd that the Binance security team had unearthed suspects in the Kyberswap exploit. He further iterated that the Binance platform had passed on the necessary information to the affected DEX.
The major exchange had launched a private investigation when the exploit came to light where they identified the suspects. Zhao also announced that Binance is working with law enforcement to corner the culprits.
Elated Users Call Binance “Crypto’s Big Brother”
This is not the first time Binance has helped identify suspicious transactions, thereby saving decentralized exchanges from huge losses. Just last month, the exchange helped recover some stolen funds in the Curve Finance saga. Bad actors had put up a suspicious contract on the Curve platform and made away with close to $600,000. Binance managed to identify the hackers’ attempts to move the funds, froze them, and finally recovered around 80% ($450,000).
Several enthusiasts have applauded Binance’s selfless interventions in security issues, calling the platform’s actions that of a “big brother.” According to a user on Twitter, Binance has graduated from merely protecting itself to looking after the majority of the crypto ecosystem.
Hopefully not the “big brother” role. We don’t need that in crypto. 😂
Just helping out where we can.
— CZ 🔶 Binance (@cz_binance) September 3, 2022
The exchange’s CEO CZ however tweeted back that it just wished to help wherever it could and not become crypto’s “big brother.” The tweet further mentioned that crypto does not need a big brother.
Regardless of CZ’s downplay, Binance’s influence in the crypto community cannot be understated. Only recently, Binance announced it might support a possible ETHPoW fork, to the joy of ETHPoW supporters.