Another successful crypto hack attack takes place. CEO of Nexus Mutual loses approximately US$ 8 Million in the hack. Told that it was targeted attack which occurred in an account of Hugh Harp while rest were saved.
It was reported by Nexus Mutual that recently the firm had received a hack attack recently. In the attack approximately 370,000 NXM (equivalent to US$ 8 Million maximum) tokens were stolen by the hackers.
Further details suggested that the hack occurred in a specific wallet of Hugh Karp at about 9:30 am. The attacker drained out assets from the wallet and transferred them to his account at the cost of 2.49 only.
The firm also informed that account holder of Hugh Karp had recently complied with the Know-Your-Customer (KYC) policy. But after 11 days of his complying with the policy, the unfortunate event of hack was caused upon the member. It was further informed that the attacker had acquired control of member’s personalized PC and thereafter modified his wallet.
Luckily there were no further reports of hack attacks at Nexus Mutual accounts. No other member holding the account complained of any such incident. It seemed as if Hugh Karp’s wallet was a targeted attack because the rest of the members remained unharmed. This was also confirmed by the firm in a message afterwards that attack was pre-planned and targeted.
However, soon after the hack attack, the prices of native tokens of Nexus Mutual went down immensely. It was recorded that the decline was upto 14%.
Later on it was found out that the attacker had used a decentralized exchange to transfer looted assets. More specifically, it was found out that the exchange involved was 1inch.exchange. Afterwards, Nexus Mutual issued a public message. In this message the firm called upon people who could assist in stopping the transaction to go through and point out the culprits. However, no assistance had come forward until now.
However, the stolen funds were insured with the Nexus Mutual. This meant that irrespective of the wallet had been left empty by hackers but the account holder would be entitled to refund. Being an insurer of DeFi assets, the burden of bearing the loss is upon Nexus Mutual.