BingX Tackles Crypto Losses After Suspicious Outflows!

BingX confirmed that it suffered a “minor asset loss” after “suspicious” outflows from one of its hot wallets.

Author

Danielle du Toit
September 20, 2024

Here's what we've got for you today:

  • BingX Confirms ‘Minor’ Losses Amid Panic Over Hot Wallet Movements

  • Texas Judge Dismisses Consensys Lawsuit Against SEC

  • US ‘Far Behind’ on Crypto, Election No Quick Fix: Ripple APAC Boss

  • Telegram Bot Banana Gun Users Lose 500 ETH to Hack - What’s Goin On?

The Singapore-based crypto exchange BingX confirmed that it suffered a “minor asset loss” after “suspicious” outflows from one of its hot wallets.

  • BingX detected abnormal network access around 4:00 a.m. Singapore time, suspected to be a hacker attack on its hot wallet. This led to a temporary suspension of withdrawals.

  • Although BingX stated that a minimal amount of crypto was stored in its hot wallets, blockchain security firm PeckShield and Lookonchain first estimated the losses to be between $13.5 million and $26.7 million.

  • BingX's Chief Product Officer, Vivien Lin, assured users that withdrawals will be restored within 24 hours.

According to Consensys, the SEC opened an investigation into ETH to regulate it as a security, and issued the company a Wells notice concerning MetaMask’s swap and staking services.

  • Judge Reed O’Connor dismissed Consensys' claims related to MetaMask, and pointed out that SEC enforcement actions do not qualify as final agency actions, and the Wells notice did not impose any legal obligations on Consensys.

  • The court also dismissed claims related to the SEC's investigation into Ethereum, as Consensys acknowledged that the investigation into ETH’s status was dropped after the approval of ETH ETFs in May.

  • Despite the dismissals, Consensys plans to continue challenging the SEC's lawsuit related to its MetaMask software.

Fiona Murray believes that the US is slow to adopt crypto regulations, and the upcoming election is unlikely to change this.

  • Despite Donald Trump using Bitcoin and the growing Democratic interest in crypto, Fiona Murray doubts the upcoming election will immediately fix issues in the US crypto industry.

  • Murray also stated that regulatory progress depends on enabling banks to support Web3 communities, rather than relying solely on election outcomes.

  • Murray is still optimistic about regulatory clarity and infrastructure improvements in the US, and believes that if major banks adopt crypto, it could boost tokenization and asset custody.

🍌 Telegram Bot Banana Gun Users Lose 500 ETH to Hack - What’s Going On?

Banana Gun, a Telegram-based trading bot, was compromised on Sept. 19, which led to major losses for its users.

  • Wallets linked to Banana Gun were drained of over 500 ETH, which resulted in total losses of $1.9 million.

  • Banana Gun faced challenges before, including the botched launch of its Banana token in September last year due to a smart contract bug.

  • In October of 2023, another Telegram-based trading bot called Unibot was also hacked, which resulted in users losing over $600,000.

👀 QUICK NEWS

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