Crypto Payment Gateway CoinsPaid Hacked Yet Again

2 Mins read

CoinsPaid, a payment processor offering solutions to bridge the gap between companies that generally operate within the traditional finance system and customers who wish to pay in crypto, has suffered its second major security breach within the past half year.

According to its website, over a million transactions with a total value of approximately 7 million EUR are carried out with their help every month. To date, CoinsPaid claims to have processed more than 19 billion euros worth of crypto transactions.

Lazarus Group Responsible for First Hack

On the 22nd of July, CoinsPaid suffered an attack that resulted in a loss of $37.3 million. At the time, the firm ceased operations for four days while investigating the breach with the help of Binance, Chainalysis, and others.

Following a post-mortem, the investigators concluded that the infamous North Korean Lazarus Group was responsible for the attack. By staging a job interview with one of CoinsPaid’s employees, Lazarus was able to trick the employee into downloading some malicious code that eventually allowed them to send authorized withdrawal requests to the firm’s hot wallets, although the wallets themselves were never breached.

Allegedly, this convoluted breach happened only after several months of attempts to bypass the platform’s security measures in a more traditional manner.

“Internal security measures triggered the alarm system and allowed us to swiftly stop the malicious activity and throw the hackers out of the company’s perimeter.”

Unfortunately, the platform has found itself under attack yet again, although it is unclear whether Lazarus is behind this one as well.

Cyvers Detects Unauthorized Access

Late last week, blockchain cybersecurity firm Cyvers sounded the alarm on a series of unauthorized transactions involving USDT, USDC, ETH, BNB, and the platform’s own token, CPD.

Altogether, $7.5 million was stolen from CoinsPaid and moved to an external wallet. The funds were then rerouted to crypto exchanges such as ChangeNOW, WhiteBit, MEXC, and others.

The attack pattern seems similar to the one used in July, raising the possibility that perhaps the bad actor’s access to the platform was not completely purged by the CoinsPaid team due to human oversight.

Although the scope of the attack is not nearly as large as the previous one, the amount stolen is nevertheless roughly equal to the numbers CoinsPaid claims to process monthly.

Until now, the platform has not released any official statement on the matter.


1409 posts

About author
Harry is a crypto enthusiast and experienced trader with a track record of success. With a deep understanding of blockchain technology, he has analyzed market trends and identified profitable opportunities, resulting in impressive returns. Harry 's expertise lies in developing effective trading strategies that leverage the potential of cryptocurrencies. Through his articles, guides, and educational resources, he shares his insights and knowledge, helping individuals make informed trading decisions. With a keen eye for market patterns, Harry has navigated the volatile crypto landscape with confidence. Stay tuned for valuable perspectives and expert advice from Harry as he contributes to the Ailtra platform.
Related posts

Indonesia's presidential elections pose uncertainty for the thriving cryptocurrency industry

1 Mins read
Indonesia, has emerged as a formidable player in the global cryptocurrency space in recent years. However, the nation’s upcoming general elections in…

Understanding the Cryptocurrency Boom - Dogecoin Climbs Due to X Payment Integration, While Stellar and BNB Also Experience Growth

1 Mins read
The cryptocurrency market has been experiencing notable gains over the past few days. This is led by an unexpected and surprising spike…

Crypto Entrepreneur Charged with Defrauding Investors Out Of $150 Million Through Marketing Scheme

1 Mins read
Federal prosecutors have charged a German businessman with securities fraud, wire fraud and money laundering for allegedly scamming over 150 investors out…

🚀 Ailtra Crypto Bot Earned $8.9M Million in 7 Months with 0% Loss!

🚀 Ailtra generated $7.4 in 7 months only!

Unlock 20-75% Monthly Returns & Get $100 FREE!

Meet Ailtra Bot! Launching on 31st March an AI Crypto Bot boasting 20%-75% monthly gains and $7.5M earnings in 7 months. 💸Secure a FREE $100 bonus and up to $20K potential via referrals every month. 🎉Only 1,000 spots are available in first phase – claim yours fast! 🔥 will not disclose your account information to any 3rd parties.