Threat actors stole $55 million worth of cryptocurrency from bZx DeFi platform

DeFi platforms are a privileged target for crooks, threat actors have stolen $55 million from bZx DeFi platform.

Threat actors have stolen $55 million worth of cryptocurrency from the bZx decentralized finance (DeFi) platform. The decentralized finance (DeFi) platforms allow users to borrow/loan and speculate on cryptocurrency price variations.

Attackers obtained two private keys for the DeFi platform through spear-phishing attacks, the attack was similar to the one that affected recently another user named “mgnr.io”. The company pointed out that the incident was not a protocol hack.

“A bZx developer had his personal wallet’s private keys taken in a phishing attack.” reads a Preliminary Post Mortem analysis published by the company. “A bZx developer was sent a phishing email to his personal computer with a malicious macro in a Word document that was disguised as a legitimate email attachment,” “This attack granted the hacker access to the content of the bZx Developers wallet, and also the private keys to the BSC and Polygon deployment of bZx Protocol. After gaining control of BSC and Polygon the hacker drained the BSC and Polygon protocol, then upgraded the contract to allow draining of all tokens that the contracts had given unlimited approval.”

The phishing message used a weaponized Word document that once opened ran a script on the developer’s computer allowed the attackers to access the employee’s mnemonic wallet phrase.

The attackers stole funds in the developer’s personal wallet along with the two private keys that were being used by the bZx platform for its integration with the Polygon and Binance Smart Chain (BSC) blockchains.

The threat actors used the keys to steal the platform’s Polygon and BSC funds, they were also able to steal funds from a small number of users who approved unlimited spend operations.

bZx has yet to confirm the exact amount of stolen funds, experts at blockchain security firm SlowMist speculate threat actors have stolen more than $55 million.

#bZx private key compromised, over $55 million dollars stolen so far. We’ll continue to update as more information is discovered. @RektHQ @ChainNewscom @bZxHQ https://t.co/SM6WWDt06J pic.twitter.com/39S05IiBFr

— SlowMist (@SlowMist_Team) November 5, 2021

In response to the incident the platform has taken the following actions:

Contacted Banteg and Mudit Gupta to join us in the war room.Contacted Tether and froze USDT from the hackers wallet. (see addresses below)Contacted Binance and froze the BZRX that was stolen on BSC to prevent it from being transferred.Contacted KuCoin and identified that one of the hackers wallets was used to transfer in and out of the exchange.Disabled the UI on Polygon and BSC to prevent users from depositing.Contacted USDC and requested to freeze USDC in the hackers wallet.Contacted KuCoin to identify the hackers KuCoin account.

As a precaution we have temporarily disabled the UI on BSC and Polygon while we investigate events from earlier today. The Ethereum App is unaffected and continuing to function normally. We will continue to provide ongoing updates and we will be releasing a post mortem shortly.

— bZx – Fulcrum & Torque (on ETH/BSC/Polygon) (@bZxHQ) November 5, 2021

bZx promised a bounty to the attackers in case they will return the stolen funds.

Recently, threat actors have stolen $130 million worth of cryptocurrency assets from another decentralized finance platform, the Cream Finance DeFI platform.

Follow me on Twitter: @securityaffairs and Facebook

Pierluigi Paganini

(SecurityAffairs – hacking, DeFi)

The post Threat actors stole $55 million worth of cryptocurrency from bZx DeFi platform appeared first on Security Affairs.

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