Shiba Inu Community, Huobi Exchange to Help Hacked Bitmart Trace Stolen Cryptos Worth $200 Million

Crypto exchange Bitmart lost $196 million (roughly Rs. 1,479 crore) stored in various cryptocurrencies. The Shiba Inu community has joined forces with Huobi Global exchange in order to help Bitmart trace and recover the stolen funds. The crypto tokens that were stolen, were directed to the wallet of the unidentified hacker(s) hiding under the pseudo name of “Bitmart Hacker”. Both, the Shib community as well as the Huobi exchange have tweeted support for Bitmart during these testing times.

In a post, the Shiba Inu team wrote that it has been trying to ramp up security around crypto assets and the community's own decentralised exchange called the ShibaSwap.

The Huboi team on the other hand said it would immediately contact the Bitmart team if any inflow of the stolen assets get detected.

While the stolen Ethereum-based crypto assets made up for $100 million (roughly Rs. 754 crore), the remaining $96 million (roughly Rs. 724 crore) worth of assets were based on the Binance Smart Chain.

Sheldon Xia, the CEO of Bitmart, who acknowledged the breach on Twitter has assured affected investors who lost their assets that they will be compensated with the company's own funds.

The withdrawal processes that have been suspended by Bitmart for the time being will gradually begin resuming from December 7.

According to a report by NewsRoomPost, a decentralised exchange aggregator called “1inch” has been used by the hackers to swap the stolen assets in exchange for Ether tokens.

The obtained Ether tokens are being deposited into privacy mixer called Tornado Cash, making the hacked funds difficult to be traced.

Recently, cyber criminals had begun targeting members of the Shiba Inu community on messaging app Telegram

Scammers were found to have been replying on general SHIB-related posts, impersonating official accounts related to the meme-based dog coin to lure in unsuspecting people. These scammers were also aggregating posts about SHIB giveaways and bonus tokens, among other tactics. SHIB investors have been advised to refrain from sharing wallet keys with any stranger.