Major Breakthrough in WazirX’s Rs 2,000 Crore Crypto Heist: Bengal Man Arrested
Crypto Scam WazirX: Delhi Police’s Special Cell has made a major in the Rs 2,000 crore cryptocurrency heist that WazirX . one of India’s leading crypto exchange platforms. The accused, SK Masud Alam, was arrested from the East Midnapore district in West Bengal. Alam is suspected of playing a key role in the cyberattack by creating a fraudulent account to facilitate the theft.
This arrest marks a critical step in uncovering the complex network behind the heist. which has been described as one of the most sophisticated cybercrimes in India’s crypto history. The investigation is ongoing, with authorities working to trace the intricate web of transactions and connections involved in the breach.
Details of the WazirX Cyberattack and Its Impact
On July 18, WazirX fell victim to a massive cyberattack. Resulting in the theft of digital assets worth over $230 million (approximately Rs 2,000 crore). The breach targeted a multi-signature wallet, which required authorization from six signatories—five from WazirX. One from Liminal Custody, a digital asset custody firm.
The attack had a devastating impact, with WazirX losing nearly 45% of its total holding assets. WazirX is a popular platform that allows users to buy, sell, and trade cryptocurrencies like Bitcoin and Ethereum. It also offers spot trading, staking, peer-to-peer transactions, and a native utility token (WRX). The platform is integrated with Binance, a global cryptocurrency exchange, further amplifying its reach.
This incident has raised serious concerns about the security measures in place across digital asset platforms. Highlighting the need for stronger safeguards to protect user funds.
Liminal Custody Clarifies Its Role in the Investigation
Amid the ongoing probe, Liminal Custody, the digital asset custody firm linked to the breach. it has issued a statement addressing media reports about its involvement. The company emphasized its commitment to transparency and full cooperation with authorities. Liminal confirmed that it has formally responded to official inquiries and participated in direct meetings with officials from the Intelligence Fusion and Strategic Operations (IFSO) unit.
The firm denied any allegations of non-cooperation and reiterated. its dedication to assisting in the investigation to ensure justice is served.
What’s Next in the Investigation?
The arrest of SK Masud Alam is a pivotal moment in the case, but the investigation is far from over. Authorities are now focusing on uncovering the full extent of the operation. Including identifying other individuals or groups involved in the heist. The complexity of crypto transactions has made the probe challenging, but advancements in blockchain forensics are aiding the process.
This case serves as a stark reminder of the vulnerabilities in the cryptocurrency ecosystem. The importance of robust security measures to protect users and their assets.
Why This Matters
The WazirX heist is not just a significant financial crime but also a wake-up call for the crypto industry. It underscores the need for enhanced security protocols, regulatory oversight, and user education to prevent such incidents in the future.
