Mixin Hack Results in $200 Million Loss, CEO Claims "Half" of User Assets Unaffected
Mixin Hacked, Losses Estimated at $200 Million
Update as of the afternoon of 25/09/2023:
In a recent AMA, Mixin founder Feng Xiaodong stated:
"Regardless of whether your assets are Bitcoin or Ethereum, we guarantee that half of them are not affected by the hack. We are trying to recover the funds, but the likelihood is minimal."
Thus, at least half of the user assets are affected. Feng mentioned that the team is considering issuing "bond tokens" for affected users, which they intend to buy back. Essentially, this approach is akin to the project using its own funds to compensate users.
Mixin is developing a new system to securely store user assets.
Original Article:
On the morning of 25/09, security firm SlowMist reported that the blockchain platform Mixin Network had been hacked, with potential losses being substantial.
According to SlowMist, the initial vulnerability was identified through the network's cloud database.
🚨SlowMist Security Alert🚨
— SlowMist (@SlowMist_Team) September 25, 2023
On September 23, the Mixin Network cloud service provider database was attacked, the amount of funds involved was ~ $200M.
SlowMist is assisting in the investigation. Please wait for @MixinKernel updates for more information.
Source: SlowMist (25/09/2023)
However, the security firm is collaborating with Mixin to assess the severity of the breach and cannot provide further details at this time.
In an official statement released afterward, Mixin acknowledged that the attack occurred on 23/09. Preliminary investigations estimate the damage at $200 million. Mixin has suspended all deposit and withdrawal activities to protect user assets. These services will only resume once all vulnerabilities have been identified and fixed. Users can still transfer assets on the blockchain as usual.
Mixin has announced plans to compensate affected users.
[Announcement] In the early morning of September 23, 2023 Hong Kong time, the database of Mixin Network's cloud service provider was attacked by hackers, resulting in the loss of some assets on the mainnet. We have contacted Google and blockchain security company @SlowMist_Team…
— Mixin Kernel (@MixinKernel) September 25, 2023
Source: Mixin Network (25/09/2023)
Mixin Network is a blockchain project that facilitates decentralized asset transactions. The platform claims to have integrated 44 different blockchains to enhance cross-chain asset transfers. According to DefiLlama, Mixin's total value locked (TVL) as of the morning of 25/09 is $353 million.
The price of Mixin's XIN token has dropped nearly 7% following the news of the hack.
Price fluctuation of Mixin's XIN token over the past 7 days. Source: CoinMarketCap (25/09/2023)
If the $200 million loss is confirmed, Mixin will become the most significant crypto hack of 2023, surpassing Euler ($197 million), Multichain ($128 million), Atomic Wallet ($100 million), Curve ($71 million), CoinEx ($70 million), Alphapo ($60 million), and Stake ($41 million).
