Crypto Casino Stake Targeted In A $40M Hack

TL;DR

• Crypto casino Stake has suffered an exploit, with roughly $40 million on the line.

• The hack was related to a private key leak.

Stake Suffers An Exploit

Cryptocurrency casino Stake was the target of an exploit, according to on-chain analyst Cyvers. The analyst reported that $16 million had been withdrawn from the Ethereum network, calling the hack as being related to a private key leak.

🚨ALERT🚨Our AI-powered system has detected multiple suspicious transactions with @Stake.https://t.co/0ZoMITOyF5 address received about $16M in $ETH $USDC $USDT and $DAI

All the stable coins are converted to $ETH and distributed to different EOAs.

FYI: @tayvano_ @zachxbt pic.twitter.com/CSGwRHEiVm

— 🚨 Cyvers Alerts 🚨 (@CyversAlerts) September 4, 2023

Blockchain sleuth ZachXBT also backed up Cyvers’ report, revealing that $15.7 million had been withdrawn from the Ethereum network. Furthermore, another $25.6 million had been lost across Polygon and the Binance Smart Chain networks. 

Hacks have become a regular part of the cryptocurrency space. In 2022, crypto investors lost more than $3.7 billion worth of cryptocurrencies to hacks and exploits. However, the figure has declined by 70% since the start of the year.

The analyst added that the stolen funds have been converted to ETH and moved to several external wallets. 

Data obtained from Etherscan indicated that the Stake wallet that was the target of the hack still holds $340,000 worth of ETH and $2.1 million in various altcoins. The Stake team has paused withdrawals from the wallet. 

Stake is an Australian cryptocurrency casino and sportsbook. The platform allows users to deposit and play with cryptocurrencies. The company generated $2.6 billion in revenue last year.