$263,000 Drained From Huobi Wallet – Could There Be An Internal Involvement?

Providing more insight on this latest exploit, prominent security firm Peckshield reported that this event occurred on October 3, with the drainer stealing a total of $263,000 USDT and 92 TRX minted on the Tron network.

Thereafter, the bad actor proceeded to swap these stolen funds for approximately 2.9 million TRX, of which 1.4 million TRX was transferred to the ChangeNOW exchange, and 1.5 million TRX was moved to Binance. 

Currently, there are speculations that this heist was orchestrated by the internal staff of Huobi as such development would be unprecedented. In September, the Chinese Police were reported to have arrested a former Huobi team member for implanting a Trojan horse virus that resulted in the exposure of the private keys and mnemonic phrases of some iToken users.

Launched in 2018, iToken functions as a professional DeFi wallet, which enables the storage of various digital assets across multiple networks. It was initially known as the Huobi wallet, as earlier stated, but was rebranded iToken in 2022, following a $200 million investment from the Huobi Group.