Kraken Hacked by Cybersecurity Researchers (2024)

FAQs

Did researchers exploit Kraken exchange bug steal $3 million in crypto? ›

After fixing the bug, they discovered that three users exploited it as a zero-day to steal $3 million from the exchange's treasury. One member was linked to a person who claimed to be a researcher, who used it to deposit $4 in crypto to their account to prove the bug.

Blockchain security firm CertiK has stepped forward as the entity behind the breach on Kraken, claiming that it detected several critical flaws that made it possible to mint (i.e., fabricate) crypto on any account, which could then be withdrawn and converted into valid crypto assets.

Yes. In the United States, your transactions on Kraken and other platforms are subject to income and capital gains tax. If you've earned or disposed of crypto (ex. Sold or traded away cryptocurrency) during the year, you'll have a tax liability to report to the IRS.

Kraken remains one of the very few leading regulated exchanges that has never been breached. Nevertheless, it's recommended that users never hold all their funds on any single crypto exchange.

Overall, Kraken is an excellent choice for cryptocurrency trading and investing. Make sure you understand all costs and risks involved and take steps to secure your account with two-factor authentication.

Coinbase: Security. Security measures are crucial when considering which exchange to use. Both platforms have solid security and regulatory track records, and neither has had any significant breaches.

Hackers had stolen more than $1.38 billion worth of crypto by June 24, 2024, compared with $657 million in the same period in 2023, TRM Labs said in a report. The median theft was one-and-a-half times larger than the year before, the report said.

In May, Japanese cryptocurrency exchange DMM Bitcoin suffered a theft of bitcoin worth over $300 million at the time, marking the largest cryptocurrency-related attack so far in 2024, according to TRM's report.

Many cryptocurrency exchanges have been hacked. FTX, Mt. Gox, and Binance are some of the more well-known hacked exchanges.

What was the biggest loss in the crypto crash? ›

Collapse of Terra-Luna

The collapse wiped out $45 billion of market capitalization in a week.