Crypto Trader Loses $70K in Binance Hack Despite Two-Factor Authentication
Summary:
A cryptocurrency trader, known as "DoomXBT," experienced the loss of $70,000 in digital assets due to a hacker on the Binance exchange. The trader noticed unusual behaviors including order placements and loan initiations, and the stolen assets were converted to BNB tokens and taken despite active two-factor authentication. The funds were suspected to be moved to the SideShift. The trader expressed dissatisfaction with Binance's handling of the situation. Binance CEO Richard Teng assured an ongoing investigation.
A cryptocurrency trader using the alias "DoomXBT" recently suffered a stressful incident on the Binance platform, culminating in the loss of $70,000 in cryptocurrency assets to a hacker. A series of odd happenings took place on this trader's Binance account before the virtual wealth was ultimately stolen, based on a revelation posted by DoomXBT on X on February 29. These oddities range from the placement of trading orders to the issuance of loans; all manipulated by the intrusive hacker up to the point of digitally siphoning off the assets.
Doom disclosed that unexpected audio alerts of orders being completed on the Binance account started to surface, hinting at a possible breach. Though no withdrawals were evident, an array of trading transactions were observed, and assets were converted into BNB tokens. Despite the two-factor authentication on the account, it was apparent it had been compromised. Of particular concern were loan transactions commencing within the account. Of greater concern was when the funds, already turned into BNB, were withdrawn shortly after Doom contacted Binance support.
Adding to this chaos, it appears that the missing funds were directed to a different trading platform known as SideShift. After making contact with SideShift, Doom intends to report this criminal event to the German authorities.
Doom voiced disappointment at Binance's support agent's handling of the situation, and Binance's social and community lead responded by assuring that they'd escalated the matter. CEO of Binance, Richard Teng, also weighed in on the thread, stating an ongoing security investigation and assuring an update upon any progress.
Feedback from Binance's community was highly critical of its customer support response, with some voicing disgust for not freezing withdrawals before funds transfer and others mocking Teng for echoing the customer support wording. The commentary requested from DoomXBT has yet to be disclosed by Cointelegraph.
Published At
3/1/2024 11:39:12 AM
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