Transit Swap Loses $21 Million Due to Internal Bug

Transit Swap Loses $21 Million Due to Internal Bug

Hackers attack yet another crypto-related firm.

Transit Swap, a cross-chain decentralized exchange (DEX) aggregator, has lost around $21 million after hackers used an internal bug on swap contracts to steal funds.

According to the tweet shared by Transit Swap, after identifying the hack, the technical team suspended all DEX operations.

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Following the initial announcement, Transit Swap apologized to its users for the exploit, stating: “we are deeply sorry.” However, the company noted that it joined forces with the SlowMist security team, the Bitrance security team, the PeckShield security team, the TokenPocket team, and the TransitFinance technical team to collect information about the hacker.

We now have a lot of valid information such as the hacker's IP, email address, and associated on-chain addresses. We will try our best to track the hacker and try to communicate with the hacker and help everyone recover their losses.

More than three hours after announcing that the company holds detailed information about the hacker, Transit Swap said it reclaimed 70% of stolen funds, around $16.2 million. The assets were recovered using Ethereum and BNB Smart Chain addresses. However, despite its luck, the company added:

This event is still undergoing and pushing, we will continue to follow up the progress and update the community in time, we appreciate your patience.

According to the BscScan, it appears that the hacker stole: 3,180 Ether (ETH) worth around $4.2 million, 1,500 Binance-Peg ETH worth around $2 million, and 50,000 BNB worth around $14.2 million. 

In the most recent tweet, the company noted that “the project team is rushing to collect the specific data of the stolen users and formulate a specific return plan” while attempting to retrieve the last part of the stolen funds.

At the end of its tweets, Transit Swap emphasized that it will continue to update users about the further steps of investigation and what users need to do to reclaim their funds.

Gile K. - Crypto Analyst

by Gile K. - Crypto Analyst, BitDegree