Crypto Casino Metawin Loses $4M in Major Hack Exploiting ‘Frictionless Withdrawal System

Metawin, a popular crypto casino, lost $4 million in crypto assets in a recent hack attack.

The attacker targeted Metawin's hot wallets on Ethereum and Solana, taking advantage of a flaw in the protocol's Frictionless withdrawal system."

To salvage the situation, Metawin has contacted law enforcement and suspended withdrawals. However, it has restored access and replaced the stolen funds.

Metawin's CEO Takes Charge After Hack and Promises Improvements

Richard Skel" Skelhorn, CEO and founder of Metawin, shared news of the hack exploitation on Sunday. He explained that the exploiter skillfully carried out the hack, leveraging a vulnerability in the protocol's frictionless withdrawal system to steal crypto assets.

Blockchain investigator ZachXBT, working with Metawin CEO Richard Skel" Skelhorn, estimated that the hacker stole over $4 million in tokens.

According to their findings, the funds were moved across 115 wallet addresses. This tactic of spreading the funds over multiple addresses suggests that the hacker understands how to navigate blockchain security. It was not just a quick smash-and-grab but a skilled and planned attack.

ZachXBT also discovered that the hacker had already begun moving the stolen funds. So far, they have sent the assets to crypto exchanges Kucoin and a nested service within HitBTC.

By doing this, the hacker may be attempting to hide or clean" the stolen funds, making it harder for anyone to track them down.

This incident serves as a reminder that some hackers in the crypto space are highly skilled. They know the tricks for moving money around in a way that makes it tough to trace. For Metawin and other companies in crypto, it highlights how essential it is to stay a step ahead on security.

Meanwhile, Metawin's CEO, Richard Skel" Skelhorn, provided an update on Discord about the recent security incident. He confirmed that the crypto casino had temporarily disabled all withdrawals.

This action was necessary to protect users, prevent further loss, and assess the situation after the hack. However, Skelhorn announced that the firm has now re-enabled withdrawals. Users can once again access their funds and withdraw them as needed.

Skelhorn Commits to Restoring User Trust as Authorities Step In to Investigate Metawin Hack

In his message, Skelhorn said the firm had contracted the authorities to help in the investigations. Reaching out to authorities is a step that shows that Metawin is taking the incident seriously to prevent future occurrences.

Metawin is working to resolve the issue and protect its users and is taking necessary steps to improve security and regain trust in its services. In his latest update, Skelhorn emphasized that Metawin will not dwell on the recent hack, reassuring everyone that the situation is now in the hands of federal authorities.

Also, Skelhorn mentioned that Metawin plans to make some internal adjustments. These changes aim to keep players happy and satisfied. He understands that players want a safe and enjoyable experience, so Metawin will improve security and protect against any future hacks from bad actors.

In a previous message, Skelhorn shared a personal note about the situation. He implied that he took responsibility for covering the losses from the hack using his own funds.

He said, I just emptied my piggy bank; we don't dwell on it. We keep building." This shows his commitment to the platform and its users.

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