By YdYdX, a leading cryptocurrency exchange, recently revealed the findings of its post-mortem investigation into a major security breach that occurred in October 2020. According to its report, the unnamed hacker was able to gain access to the company’s digital wallets and stole a significant amount of Bitcoin and Ethereum.
The cause of the breach was determined to be a known vulnerability in the company’s server-side code that the hacker exploited. After thorough forensic investigation, YdYdX was able to identify the attacker. The company has since taken steps to improve its security measures and has initiated legal action against the hacker.
YdYdX’s post-mortem report also contains recommendations on how users can protect their assets in the future. The recommendations include using unique passwords for all exchanges, enabling two-factor authentication for all accounts, and monitoring the blockchain for suspicious activity.
In addition, the report suggests that users should take advantage of the company’s built-in protection mechanisms such as its transaction risk analysis and additional safety protocols. These protocols include IP whitelisting, transaction velocity checks, KYC/AML checks, and dynamic key generation.
YdYdX is also making efforts to boost its cyber security efforts by implementing cutting-edge technology like block-level monitoring. This technology helps to detect suspicious activity and potential cyber-attacks. The company is also offering users additional insurance to protect them from losses resulting from the attack.
The post-mortem report is a reminder that cryptocurrency users should take steps to secure their funds and remain vigilant. Exchanges like YdYdX should also be proactive in protecting users by implementing measures like the ones mentioned above.
