Due To Suspicious Activity, Crypto.com Suspends Operations On Withdrawals
The cryptocurrency industry is no stranger to hacks, rug-pulls and protocol exploits. Earlier this month, decentralized finance security platform and bug bounty service Immunefi found that losses from hacks, scams and other malicious activities exceeded $10 billion dollars in 2021.
Per the report, there were 120 crypto exploits or fraudulent rug-pulls, the highest-valued hack being the Poly Network at $613 million.
Dogecoin founder Billy Markus noticed a suspicious transaction pattern on Etherscan that prompted the company to halt all transactions for the time being.
A representative from Crypto.com contacted newsbtc with a statement that said:
“The MCO Wallet team is aware of some strange activities going on in one of our customers’ Ethereum accounts. We have been informed by other industry players about other similar activities aimed at several crypto-related platforms, not only limited to exchanges and wallets, but also including payment processors and money transfer services. In order to prevent any fraud or illegal financial operations, we are now investigating this case further as it may indicate an attempted security breach into Crypto.com’s systems.”
“We hope to resume full wallet operations soon, but will keep everyone posted on the situation.”
At this time MCO Wallet is not allowing withdrawals until further notice as a security precaution. All wallets are subject to review and the account in question may be suspended for an undisclosed amount of time as they investigate.
Payments on Crypto.com have been temporarily disabled. The company says that all other functions on their platform remain fully functional at this time.(end article)
There is a lot wrong with this article: it confuses “suspicious activity” with a potential hack attempt, which could lead people to believe that MCO had been hacked or experienced some sort of data breach or loss; it fails to mention that Markus noticed the activity first and alerted MCO; it fails to mention that Markus was not the only person who noticed suspicious activity and that MCO responded by halting all transactions, which failed to stop the other party from draining funds. Crypto.com is not saying anything about “suspicious activity” because they cannot say anything because of privacy concerns.