Taiwanese trading firm Kronos Research has reportedly fallen victim to an estimated $25 million attack.
The cryptocurrency market faced a seismic shock on November 19th. Leading exchange platform WOO X announced the temporary suspension of operations, revealing that unauthorized access had been gained to some API keys of market maker Kronos Research. This breach resulted in a significant withdrawal of assets, rendering normal trading activities impossible. Despite the disruption, Kronos Research stated that the stolen amount did not constitute a substantial portion of the company's assets. The firm also pledged to resume operations as soon as possible. However, ZachXBT's estimates suggest that the total damage incurred by Kronos Research could be around $25 million (12,800 ETH).
Kronos Research Hacked.
Blockchain researcher ZachXBT estimated the total loss at $25 million, while Kronos stated that this did not reflect a significant portion of their equity. Kronos suspended all operations following the incident. This situation caused issues on the WooX exchange, where Kronos serves as a significant market maker. WooX, in its statement, reassured customers that their funds were secure before announcing a temporary halt in certain asset pairs due to the liquidity loss resulting from Kronos' suspension. However, spot, perpetual trading, and withdrawal operations have now resumed. Kronos, in its announcement, expressed its aim to resume trading as soon as possible.
WOO X Halts Activities.
WOO X issued a statement regarding the temporary suspension of its activities. The exchange added that Kronos Research served as its primary market maker, contributing up to 40% of the total spot and futures trading liquidity on the platform. Consequently, an urgent decision was made to halt trading to safeguard user interests. A few hours later, WOO X announced successful communication with alternative market makers to support the exchange's operations. Trading activities resumed on the morning of November 19th. WOO X, in a tweeted status update, reassured customers about the security of their assets. It's worth noting that WOO X's 24-hour trading volume for spot and futures stands around $150 million.
