- A crypto payment service provider Alphapo’s hot wallet was hacked and $23 million in Ethereum, Tron and Bitcoin were stolen.
- Ether stolen by the attacker was bridged to Avalanche and Bitcoin.
- The payment processor caters to crypto gambling services, withdrawal services on HypeDrop, Bovada and Ignition are affected.
Altcoins like Ethereum, Tron and others in the top 50 cryptocurrencies by market capitalization are making strides in the ongoing alt season in July. Amidst this, crypto payment processor Alphapo was hit by a hack, the firm’s hot wallets were drained of $23 million in Ethereum (ETH), Tron (TRX) and Bitcoin (BTC).
Crypto payment processor drained of millions in altcoins
Crypto influencer and analyst ZachXBT monitored the state of crypto payment processor Alphapo and identified a hack of $23 million. Hot wallets of the processor were drained for Ether, Tron and BTC early on Sunday.
Earlier today Alphapo hot wallets were drained for $23M+ on ETH, TRON, BTC.
HypeDrop (Alphapo customer) has since had withdrawals disabled.
On Ethereum the stolen funds were swapped for ETH then bridged to Avalanche and Bitcoin. pic.twitter.com/pj7i3ZlBrX
— ZachXBT (@zachxbt) July 23, 2023
The stolen funds were converted to Ether and then bridged to Avalanche and Bitcoin on the ETH blockchain. In response to the hack, crypto withdrawals of gambling services HypeDrop, Bovada and Ignition were hampered and users were unable to access their funds.
Our provider is currently working to solve some recent issues from their side, they are facing problems specifically related to withdrawals of BTC, ETH, and TRX, as well as deposits for ETH and TRX.
We are actively monitoring the situation with them and will provide you with an…
— HypeDrop (@HypeDrop) July 22, 2023
The wallet addresses associated with the $23 million hack have been identified:
The complete extent of the Bitcoin theft remains unclear at the time of writing. Crypto intelligence trackers are conducting their investigation alongside cybersecurity experts and analyzing the involved addresses on-chain.
Incidents similar to the one that currently plagues Alphapo are common in the DeFi ecosystem and blockchain intelligence firm PeckShield observed more than 395 major hacks in the Web3 space. A total of $479.4 million in funds was lost to such exploits and the top 10 accounted for $378.3 million worth of hacks.
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