Woo X Hacked: $14 Million Stolen in Unauthorized Withdrawal Incident

On July 24, Woo X, a cryptocurrency exchange, fell victim to a significant security breach, resulting in the theft of approximately $14 million. The incident, which has been dubbed the “Unemployed incident,” involved unauthorized withdrawals from nine user accounts, prompting the exchange to take precautionary measures to contain the damage.

Initial Response and Reimbursement

Woo X was quick to respond to the incident, stating that it had already contacted the affected users and intended to fully reimburse them for their losses. The exchange also emphasized that many attempts to exploit the vulnerability had been blocked as soon as the issue was recognized, and that it was committed to covering all losses incurred by its users.

Stolen Funds and Exploited Addresses

About an hour after the initial warning, Woo X updated the estimated loss to $14 million and published six addresses that it claimed were exploited during the incident. The exchange has yet to provide further technical details about how the attacker gained access to the accounts or when the withdrawals were restored. According to Cyvers, a cybersecurity firm, the stolen funds were transferred to various addresses on different blockchain networks, including Bitcoin, Ethereum, BNB chain, and Arbitrum.

Cyvers reported detecting suspicious transactions totaling over $12 million, which affected Woo X. An ETH address received $1 million in USDT from a Woo hot wallet, which was then converted to ETH and transferred to a new address. Additionally, 5 BTCB were received on the BNB chain, converted to BNB, and transferred to another new address.

Aftermath and Future Updates

Woo X has assured its users that the incident was limited to a small number of accounts containing a substantial amount of cryptocurrency. The exchange has promised to publish further details about the attack vector and the schedule for restoring full platform functionality. Users can expect another update on when withdrawals will be reactivated.

The incident serves as a reminder of the importance of robust security measures in the cryptocurrency space. As the investigation into the Woo X hack continues, users will be keeping a close eye on the exchange’s response and the measures it takes to prevent similar incidents in the future.