Hacked cryptocurrency wallet Atomic Wallet has taken action to freeze $2 million in "suspicious deposits," in collaboration with major cryptocurrency exchanges, according to an announcement made on October 19. The wallet provider sought assistance from blockchain intelligence firms Chainalysis and Crystal to identify and contain the security threat.
The report highlights that these "threat actors" employed sophisticated methods to connect the funds to the Bitcoin blockchain, involving the use of bridges and mixers. Most of these illicitly acquired funds were ultimately traced to the Tron blockchain and the Bitcoin network. Specifically, it was noted that funds were routed through the Avalanche bridge before reaching the Tron blockchain.
While Atomic Wallet expressed its appreciation for the swift cooperation from centralized cryptocurrency exchanges in freezing assets related to these transactions, the company did not disclose the specific names of these exchanges. This discretion was attributed to the ongoing nature of the investigation. Details regarding when more information may be made available remain undisclosed as well.
This recent development follows a major security breach that Atomic Wallet suffered in June 2023, resulting in the theft of millions of dollars in cryptocurrency assets. The company has not yet provided specific information regarding the conditions or vulnerabilities that led to the security breach. Moreover, in August, a group of affected Atomic Wallet users initiated a class-action lawsuit against the platform, seeking redress for the significant loss of $100 million.
