Hedgey Finance, a tokenized infrastructure platform, has suffered two parallel attacks totaling $44.7 million in lost funds.
Hedgey suffered an exploit worth more than $42.8 million in Arbitrum (ARB) tokens on the Arbitrum network, according to an April 19 X post from the on-chain security company. cyvers. The attacker already deposited part of the funds on the Bybit cryptocurrency exchange.
Previously, the Hedgey protocol was hacked for a total of $1.9 million in cryptocurrency on the Ethereum network, according to an X alert from cyvers.
Hedgey Protocol confirmed the exploit and added that it is actively working with auditors to understand the vulnerability behind the potentially ongoing attack. He said on April 19th mail:
“We are investigating an attack on the Hedgey token claiming contract. If you have created active claims, please cancel them using the “End Token Claim” button…”
Shortly after Hedgey confirmed the exploit, fraudulent accounts impersonating the protocol began posting potentially malicious links below the thread, urging people to request a refund or revoke their smart contract approvals, pointing to suspicious offline links. with the Hedgey protocol.
The exploit occurred hours before the long-awaited Bitcoin halving, which will halve block issuance rewards.
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Over $500M Stolen in Cryptocurrency Hacks in Q1 2024
In the first quarter of 2024, there were 223 attacks and exploits totaling more than $502 million in stolen digital assets, according to the Hack3d report from on-chain security company CertiK.
This represents a 54% increase compared to the first quarter of 2023, in which funds worth a total of $326 million were stolen. January was the most lucrative month for hackers, who stole more than $193 million in cryptocurrency in 78 chain incidents.
As in previous quarters, compromised private keys remained the primary attack vector, with more than $239 million lost in 26 such incidents. According to CertiK, compromised private key exploits only account for 11.7% of all security incidents.
On the positive side, more than $77.9 million in stolen funds were returned in the first quarter, most of which was attributed to the Munchables security incident.
A total of $1.8 billion was lost in 2023 due to cryptocurrency hacks and scammers, of which 17% can be attributed to North Korea's Lazarus Group, according to a Dec. 28 report from Immunefi.
Related: Prisma Finance Exploited in $10 Million Breach
