The new year begins with an unfortunate incident in the crypto community as one of the OG Bitcoin core Developer Luke Dashjr reportedly lost over 200 BTC in a hack.
Luke Dashjr took to Twitter to reveal that his PGP key was compromised, and many of his bitcoins were stolen. A PGP key, aka Pretty Good Privacy key, is a popular security technique that employs two keys to decrypt data.
A sizable amount of Dashjr’s Bitcoins have been transferred to a wallet address using the Bitcoin mixer CoinJoin in four transactions. At the time of writing, the address holds 216.93 BTC, approximately $3.6 million.
In November Dashjr’s server was accessed by an unknown individual via new malware/backdoors on the system specifically created to compromise his server.
On Christmas day, someone reaccessed the server and Dashjr shared IPs that were implicated in the attack. But unfortunately, the planned attack was successful with the hackers stealing over 200 Bitcoins.
Binance CEO responded to Dashjr’s tweet “Sorry to see you lose so much. Informed our security team to monitor. If it comes our way, we will freeze it.”
CZ tweeted on his official account, “Sad to see even an OG #Bitcoin Core Developer lost 200+ BTC ($3.5 million). Self-custody have a different set of risks. We will try to monitor and see where we can help.”
The revelation has also sparked a discussion about self-custody, with some arguing that while it’s not necessarily harmful, users shouldn’t control their keys directly. The FTX debacle did push the community to follow one of the core principles of crypto: “Not your keys, not your coins.”