• Radiant Capital lost over $50 million in a cyber attack on October 16, 2024.
  • Malicious Trojans misled team members into signing unauthorized transactions.

Radiant Capital, a cross-chain lending protocol backed by Binance Labs, fell victim to a serious cyber attack. It resulted in losses exceeding $50 million in cryptocurrency On October 16, 2024. This incident underscores the significant vulnerabilities within decentralized finance (DeFi) platforms. Attackers gained control of the private keys belonging to multiple signers and subsequently manipulated smart contracts. As a result, they executed unauthorized transactions, compromising the security of the platform.

The sophistication of this attack distinguishes it from previous breaches. Hackers successfully implanted Trojans on the computers of several team members. This malicious software misled developers by showing legitimate multisig data, causing hardware wallets to sign harmful transactions without the team’s awareness.

How is Radiant Capital Responding to the Cyber Attack?

In light of this major breach, Radiant Capital is collaborating with the FBI and cybersecurity experts to recover the stolen funds. The company is focused on strengthening its security measures by implementing stricter verification protocols and introducing new cold wallet addresses. 

Additionally, Radiant has reduced the number of signers required for multisig transactions to enhance oversight. Users have been advised to revoke any existing approvals for tokens associated with the protocol to protect their remaining assets. The attacker’s wallet reportedly held over $32 million in Arbitrum based assets and about $18 million in BNB Chain tokens, further complicating the recovery efforts. 

Daniel Von Fange in a recent tweet mentioned that this incident serves as a stark reminder of the ongoing vulnerabilities faced by DeFi platforms. The attack’s complexity raises serious questions about the adequacy of current security measures. Moreover, the breach emphasizes the need for continuous vigilance and proactive security enhancements within organizations to prevent similar incidents in the future.

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