GateHub hack: ChangeNow gains control of over 500,000 XRP transferred from hacker’s addresses

GateHub, a wallet that supports top cryptocurrencies such as Bitcoin, Ethereum and XRP, recently took the spotlight in the XRP community as reports of lost funds emerged. This attack resulted in 100 XRP ledger wallets losing over 23 million XRP. ChangeNow, a non-custodial exchange, released an official statement on the entire fiasco.

Soon after this was brought to light, the service provider also released an official statement on the incident, stating that this could have been an outcome of “suspicious API calls,” instructing users on the method to protect funds. They also explicitly stated that they “have not identified any action or omission by GateHub that may have facilitated or allowed this apparent theft to occur,” as of June 6, 2019.

Further, the platform also stated that a total of 103 XRP Ledger wallets had incurred a loss due to the attack and 18,473 accounts were “potentially affected.” More so, they also recommended customers who had received an email to move their assets out of the platform.

In a blog post released on June 10, ChangeNow stated that its team was successful in halting the execution of “a solid number of XRP exchanges” on the exchange on June 9, 2019. The exchange also stated that there were a few XRP exchanges from the attacker’s addresses that were executed before the platform was notified about the hack.

The exchange stated,

“The total amount of [XRP] that was attempted to be transferred through us is 2.5 million. We managed to retain more than 500,000 XRP. Even though it is an impressive number, we think there could be more to be done on our part. For the future, our ultimate goal is to stop at least 90% of all stolen funds that are being exchanged […]”

Further, the exchange stated that the retained funds were frozen on the platform and are currently stored in their cold wallet, which will later be transferred to GateHub. The exchange stated,

“We are actively cooperating with GateHub representatives and trying to find the best solution to manage the situation. As always, we are ready to do whatever it takes to make the crypto space a safer space for everyone in it.”

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