As a seasoned analyst with years of experience in the digital asset industry, I have witnessed the ebb and flow of countless projects, some thriving, others faltering. The recent addition of Atomic Wallet to Malaysia’s prohibited list by their Securities Commission raises red flags that cannot be ignored.
In simpler terms, the Malaysian Securities Commission has included Atomic Wallet, a digital wallet service for Web3, on a list of businesses not permitted to function within Malaysia, as stated on their official website.
According to their website, it’s been noted that Atomic Wallet is operating a Digital Asset Exchange (DAX) without proper registration.
As a researcher, I’ve come across the unfortunate incident involving Atomic Wallet, which suffered a significant hack in the year 2023, leading to a loss of over $100 million. Subsequently, the platform has found itself at the center of various lawsuits.
This entity has been added to a list that also includes Crypto Trade Malaysia and Best Exchange, all of which are cryptocurrency-related companies prohibited from functioning within the Asian country by the Commission.
Atomic Wallet positions itself as a safe, non-centralized, and anonymized cryptocurrency wallet designed for storing and exchanging over a hundred different digital assets.
Hacking incident
2023 found me engaged in a legal dispute with Atomic Wallet, a Web3 wallet provider, within the U.S. jurisdiction. The unfortunate incident stemmed from a cybersecurity breach that affected their services.
Based on a study by Elliptic, the total losses surpassed $100 million, with several users claiming they had completely lost their cryptocurrency holdings.
According to reports, the exploit seems to be linked with the North Korean hacking organization known as the Lazarus Group. It is said that this group supposedly moved the stolen funds to a cryptocurrency exchange based in Cambodia called Huoine Pay.
In the same year, a U.S. federal judge discarded the class-action case, pointing out that there was insufficient evidence showing that the American court could control the Estonian cryptocurrency company.
In the month of December 2023, Atomic Wallet initiated a reward program worth $1 million, aiming to identify any potential security weaknesses within their digital wallet application.
Worsening cyber threats
2024 saw a nearly 21% rise in cryptocurrency losses due to scams, hacks, and exploits compared to the previous year. Hackers predominantly focused on infiltrating centralized crypto exchanges and stealing private keys from Web3 wallets as their primary objectives.
In a blog post published on Dec. 19, Chainalsysis said $2.2 billion in funds were stolen in 2024 in 303 incidents, up from 282 in 2023.
In the year 2024, Chainalysis reported that instances of private key breaches represented the greatest proportion (43.8%) of cryptocurrency thefts. It was also noted that centralized exchange platforms were the most frequently targeted.
In the year 2024, there was a significant change in the nature of crypto attacks, as centralized organizations became increasingly popular targets, according to Jean Rausis, a cybersecurity specialist and co-founder of the DeFi platform SmarDex, speaking with CryptoMoon.
Read More
- DUSK PREDICTION. DUSK cryptocurrency
- LDO PREDICTION. LDO cryptocurrency
- JTO PREDICTION. JTO cryptocurrency
- Looks Like DOOM 64 Is Getting a Native PS5 Port
- Marvel Rivals Season 1 is bringing the Fantastic Four — here’s the Invisible Woman in action
- Blockchain is the best fintech to ensure Sharia ethics — Web3 exec
- DGB PREDICTION. DGB cryptocurrency
- Mean Girls Star Has Perfect Idea for a Reunion After Christmas Movie Success
- EUR INR PREDICTION
- TRB PREDICTION. TRB cryptocurrency
2024-12-23 22:32