Binance Deployer Address Hacked for $27 Million

For the umpteenth time this month, top on-chain Sleuth, ZachXBT has flagged another crypto-based theft featuring a Binance Deployer address as the victim.

In a post from ZachXBT, the total amount lost came in at 27 million USDT. The attacker acted by quickly obfuscating the destination of the stolen funds with several transactions.

Spotting the Binance Link

As the crypto ecosystem evolves, cybercriminals are also advancing in their strategy with their fraudulent efforts becoming more pronounced lately. Notably, exchanges are no longer viewed as impenetrable, as even Poloniex faced exploitation that led to over $120 million in losses last week.

ZachXBT disclosed that the latest exploit features a Binance Deployer address. A deployer address plays a role in deploying smart contracts related to a network. Project developers can create a deployer address and with the likelihood of that address holding enough reserve funds, it becomes a target for scammers.

The Binance Depoyer address showcases enough activity. For close to 2 years, it has been the target of fake phishing attempts. Notably, some of the tokens associated with it come with low reputation scores according to labels assigned by Etherscan.

Following the latest attack, the exploiter used services like FixedFloat and ChangeNow to move the stolen funds, on-chain data shows. Data further confirms that the attacker also used THORChain to bridge the USDT to Bitcoin.

Call for Web3 Infrastructure Overhaul

There is a growing concern regarding scams in the crypto ecosystem. This forms a basis for why regulators around the world are doing all they can to provide sufficient laws around the nascent industry to protect investors.

Besides regulators, lawmakers are also skeptical about the security infrastructure of crypto systems. Several protocols are working to solve this menace with Chainlink upgrading its Staking offering to draw more participants, diversify its operations, and stay secure.