Following the recent $235 million hack targeting Indian crypto exchange WazirX, the company has decided to terminate its asset custody arrangement with Liminal. In an effort to bolster the security of its remaining assets post-breach, WazirX has shifted its assets from Liminal to new multi-signature wallets. This move is crucial to safeguarding the assets, as stated by WazirX, “This step is essential to ensure maximum security of the assets in light of recent events.”
WazirX emphasized the importance of this decision in light of the breach that occurred on July 18th. While the exchange believes that its interface and systems were not compromised, it cannot say the same for Liminal’s interface. As a precautionary measure, WazirX has opted to transition its assets to new wallets with a heightened level of security. The exchange is carefully managing the transfer process to prevent any reoccurrence of a hacking incident.
Despite not providing a specific timeline for the asset transfers, WazirX has assured its users that the process will be handled with extreme caution. The company plans to publish a list of all new wallets once the migration is complete, ensuring transparency throughout the transition. WazirX stated, “We are exercising extreme caution in how and when we move these assets, considering the complexity involved.”
Restoring Balances and Collaboration
In the aftermath of the hack, WazirX has been working diligently to restore balances for trades conducted between July 18 and July 21. This action will reverse all transactions on the platform that took place after the withdrawal halt on July 18, 2024. The company is also collaborating with legal experts to develop an effective strategy for resuming withdrawals on its platform. Furthermore, WazirX has received reports from 344 bounty hunters, including security professionals and ethical hackers, who are actively tracking the stolen funds. The firm is engaging in discussions with seven partners to address the financial implications of the attack.
Through these security measures and collaborative efforts, WazirX is committed to upholding the integrity of its platform and ensuring the protection of its users’ assets. The exchange’s proactive approach to enhancing security measures underscores its dedication to safeguarding against future breaches and maintaining trust within the crypto community.
Leave a Reply