GateHub Hack Leads to Nearly 10 Million Stolen XRP


Lately, the hackers have compromised nearly 100 XRP ledger wallets on one of the Cryptocurrency wallet service known as GateHub. A preliminary statement was released on 6th of June 2019 where the incident was announced by GateHub. The statement says that GateHub has revealed that it was notified by some of its customers and the community members that funds on their wallets had been theft. The company has provided an estimate that the hackers have managed to compromise around 100 XRP Ledger wallets.

However, the company initially did not identify any nefarious activities on its platform but soon enough it began its investigation on the matter as the activities came to knowledge, where in it discovered that there has been an increased application programming interface (API) calls coming from a small number of IP addresses. This is probably how the hackers got the access to encrypted secret keys.

A community member named Thomas Silkjaer who was one of those taking the initiative to warn the GateHub about the breach where the report on the hack revealed:

Thomas Silkjaer also states that as of 5th June 2019, approximately 23,200,00 XRP has been stolen from 80 to 90 victims that counts to nearly $9.5 million at the press time, of which around 13,100,000 XRP ($5.37 million) has already been laundered through the exchanges and mixer services. GateHub also notes that it is still involved in the ongoing investigation thus posting any official conclusion are not possible.

A report has been published earlier this month that the blockchain intelligence firm named Chainalysis has claimed that 64% of the ransomware attack cash out strategies includes the funds laundering through the Cryptocurrency exchanges. A further analysis states that the ransom cash out strategies includes 12% involved mixing services while 6% is involved in peer to peer networks. Others went through the merchant service providers or dark web marketplaces. Only 9% of the ransomware proceeds remain unspent.

Disclaimer: does not promote or endorse claims that have been made by any parties in this article. The information provided here is for the general purpose only and unintended to promote or support purchasing and/or selling of any products and services or serve as a recommendation in the involvement of doing so. Neither nor any member is responsible directly or indirectly for any loss or damage caused or alleged to be caused by or in relation with the reliance on or usage of any content, goods or services mentioned in this article.


Please enter your comment!
Please enter your name here