Binance, a cryptocurrency exchange, has responded to a Chinese user’s unfortunate experience of losing an incredible $1 million in cryptocurrency assets in his Binance account due to a security breach.
According to Binance’s Co-founder, the incident happened because the user’s machine was compromised, which gave the attacker access to take advantage of a malicious plug-in and steal login credentials.
A Binance user in China lost $1 million in cryptocurrency due to a security breach facilitated by a malicious Chrome plugin. The hacker exploited control over the user’s web cookies, bypassing the need for passwords or 2FA, and executed “counter-trading” techniques to drain the account.
As evidence of its dedication to security responsiveness, Binance expeditiously handled the user’s freezing request in 1 minute and 19 seconds, even though there had been no prior notice regarding the AGGR plug-in.
The company said, “ The team was not aware of the March case you mentioned in your post and it was related to AGGR. Thank you for sharing the information of the “KOL” outside the platform in your post. We will continue to investigate and share and synchronize with you as soon as possible if there is any new progress.”
The platform went into detail about the difficulties in looking into cross-trading activities and blamed the hold-up for the answer on the requirement for careful examination and verification of suspicious accounts across several transactions and counterparties.
Furthermore, Binance said to the user, “We sympathize with your experience, but according to the information we have learned so far, the reason for your asset loss is that your related devices were manipulated because of the installation of malicious plug-ins.”
Binance also explained that its security team faces the challenge of analyzing over 8,000 transactions involving 1,600 counterparties, requiring thorough data extraction and analysis. Due to the complexity, customer service lacks the authority for investigations, leading to next-day responses.
Binance is intensifying system security, focusing on safeguarding login status storage and detecting unusual trade patterns. Users are urged to use the official app or a clean browser and promptly log out after each session to mitigate account breaches.
Also Read: Binance Limits ‘Unauthorized’ Stablecoins in EU from June 30
