Over $4 Billion Crypto Laundered via Cross-Chain Technologies

Binance, the world’s largest crypto exchange, have lost $500 million as a result of a network attack.

After spotting a vulnerability between two blockchains, the business momentarily blocked transactions and fund transfers, a manner of digital theft that has recently been utilised in at least one other large attack.

According to reports, hackers stole 2 million Binance Coins, or BNB, worth $570 million. Binance first reported that just $100 million in tokens were taken, but following an internal investigation, verified the bigger amount on its blog.

Binance CEO Changpeng Zhao explained on Twitter that “an attack on the cross-chain bridge, BSC Token Hub, resulting in additional BNB.” A bridge functions as a conduit for assets to be transferred from one blockchain to another. This exploit was leveraged by hackers to fake transactions, thus fooling the bridge into transferring tokens off-network and into their private wallets.

Binance is the most recent crypto firm to be attacked. Binance said it will hold a “on-chain governance vote” among validators in the coming days to handle post-attack problems such as freezing compromised cash or launching a reward programme to detect flaws and hackers. Binance intends to reveal additional details about how it intends to safeguard its blockchain from future cross-chain bridge attacks.