In response to a significant cyberattack, WazirX, one of India’s leading cryptocurrency exchanges, has announced the launch of a bounty program to freeze and recover stolen assets.
In a post on the X social platform, WazirX outlined several immediate actions the exchange has taken in response to the cyberattack. The exchange has filed a police complaint and reported the incident to the Financial Intelligence Unit (FIU) and CERT-In.
Furthermore, WazirX’s co-founder Nischal Shetty made a separate post stating that the exchange is reaching out to over 500 exchanges to block the identified addresses associated with the stolen funds. The cooperation from these exchanges is crucial as the stolen assets move through various platforms.
WazirX seeks expert help
According to Shetty, the WazirX team is preparing a bounty program to incentivize individuals and entities to help freeze or recover the stolen assets. This program is part of their strategy to enhance their efforts in tracing the stolen funds.
The team is also in discussions with several expert groups that specialize in tracking cryptocurrency transactions. These experts will provide continuous monitoring and support in the recovery process.
WazirX expressed gratitude for the support from the broader Web3 ecosystem. The exchange emphasized the need for a collective effort to resolve the issue and maintain the ethos of Web3 communities.
Shetty noted that the team is currently analyzing data to understand the extent of the damage caused by the attack. This analysis is crucial for formulating an effective recovery plan and ensuring that all possible measures are taken to address the impact on customer funds.
Law enforcement and forensic collaboration
In addition to their internal efforts, WazirX is collaborating with forensic experts and law enforcement agencies to identify and apprehend the perpetrators. This collaboration aims to ensure that the culprits are brought to justice and that the stolen assets are recovered as much as possible.
The WazirX breach resulted in a significant loss of approximately $235 million, making it the second-largest hack of a centralized exchange in recent times, surpassed only by the DMM exploit on May 31, which saw a staggering loss of $305 million.
Crypto investigator ZachXBT had revealed in a Telegram post on the ‘Investigations by ZachXBT’ channel that the alleged main attacker’s wallet still holds over $104 million in funds, which have yet to be offloaded.