As the global economy settles into the beginning of a new quarter, the cryptocurrency market and community take a huge hit as one of its platforms has been hacked.
KICKICO an ICO platform that works and is based on the blockchain has admitted to have been hacked and has lost a large amount of their own native tokens that are worth up to $7.7 million USD. The platform admitted to having lost 70 million KICK tokens.
The platform, on its social media, admitted to have had a serious security breach, but did not however know that they had lost so much money until multiple users saw their wallets empty out overnight and brought it to the attention of the company.
The hack is said to have been perpetrated by one person who used close to 40 different addresses to transfer the KICK tokens to, in order to leave no trace behind. And all 40 addresses of which are said to be controlled by him.
The company released a statement on Medium last week explaining how they think the cyber criminal got access to their funds and managed to steal them away.
The hacker is said to have first taken control of all the smart contracts on the platform by obtaining the private keys which eventually allowed them to siphone off money from KICKICO users and registered wallets.
No Change in Market Price
Usually following a hack or a security breach of this level and amount, the coin trend sees a significant slump. However, this has not been the case with the KICKICO hack because the attacker/s used 40 different addresses to transfer the KICK tokens. Thereby keeping the value of the token in place as well as leaving no digital trace to track back to them/her/him.
As a result of this method the attackers used, the company’s status remained the same for hours after the breach and is one of the main reasons why the company and its officials had no clue that such a thing had happened until the customers brought to their attention that their wallets are being emptied out.
As is typical of all hacks, this one too saw the same things happen in the aftermath with KICKICO releasing a statement saying that the company would refund all the people who suffered significant losses over some time.
And has requested all users that have lost money in this hack to send an email to their email ID in order to be eligible for remuneration in terms of compensation payouts.
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