Radiant Capital Taps FBI to Recover $50M in Crypto Lost to Hackers

As a seasoned crypto investor with over a decade of experience navigating this volatile market, I’ve seen my fair share of ups and downs, but nothing quite like the recent events surrounding Radiant Capital. Losing $50 million to an attack is not just a financial hit; it’s a gut punch that makes one question the very foundation of trust in this decentralized world.


Radiant Capital, a cross-chain lending protocol, has teamed up with the Federal Bureau of Investigation (FBI) following a hack that resulted in over $50 million worth of cryptocurrency being stolen. The theft affected both BNB Chain and Arbitrum networks. In addition to the FBI, Radiant Capital is also working with several security firms to retrieve its stolen assets.

To date, SEAL911, Hypernative, ZeroShadow, and Chainalysis have agreed to delve into the matter and suggest remedial actions. Regrettably, due to the intensity of the assault, Radiant Capital has had to halt its lending market on the Base Network for now.

Radiant Capital’s Hacker Exploit Vulnerability

According to De.Fi Antivirus, the perpetrator exploited Radiant Capital’s ‘transferFrom’ function to execute the theft. This function enabled the unscrupulous actor to perform unauthorized withdrawals from multiple developers’ hardware wallets. In the end, they managed to steal various cryptocurrencies such as USDC, WBNB, and ETH. It is alleged that the attacker obtained several signers’ private keys in order to carry out this action.

After gaining authority, he assumed command over numerous smart contracts. The assault persisted for some time before it was detected. In the words of Pop Punk, the anonymous co-founder of token launch platform g8keep, the attack resembles a “school bully snatching lunch money.” He used this analogy to highlight the gravity of the security issue.

As a researcher, I’ve found that while Ancilia Inc., a renowned cybersecurity firm, estimated the losses to be approximately $50 million, the Decentralized Finance (De.Fi) sector put the figure slightly higher, around $58 million.

It appears that this incident highlights growing worries over the potential weaknesses in multi-signature wallet systems within blockchain networks.

As a crypto investor, I’m reassured by the enhancements made by Radiant Capital’s Decentralized Autonomous Organization (DAO) to their security measures. They’ve beefed up their security protocols and multi-signature verification processes to minimize future incidents. The developer team has introduced more rigorous multi-layer signature verifications and even incorporated independent devices to cross-check transaction data before approval, adding an extra layer of protection for us all.

To enhance security measures, contributors have generated fresh cold wallet addresses on brand new, secure devices to minimize potential risks. Additionally, both Admin and DAO multi-signatures have been strengthened by decreasing the number of required signers to seven and increasing the signing requirement to four. In a broader context, Radiant Capital is planning to implement a new set of contracts for the relevant markets.

They’ll be utilizing advanced security measures for better protection. It is anticipated that these updates will strengthen the structure against such vulnerabilities in the long run.

FBI Step up Fight Against Crypto Attack

Law enforcement is progressively increasing efforts to tackle hacking, assaults, and intrusions within the cryptocurrency sphere. Simultaneously, these malicious entities continue to develop innovative strategies for executing their cyberattacks.

Two weeks past, the FBI issued a stern public alert regarding the ICHCoin crypto swindle that left many Americans penniless. The deceitful scheme attracted victims with a swift training on cryptocurrency investments. However, the objective of ICHCoin was to pilfer millions from people across the country. From December 2023 until authorities became aware of their activities, these fraudsters are estimated to have swindled approximately $30 million through the ICHCoin app.

Additionally, the FBI has collaborated with the U.S. Securities and Exchange Commission (SEC) and the Department of Justice (DoJ) to charge several cryptocurrency companies accused of fraud. Among these firms are Quant Investment, Gotbit Consulting, and CLS Global, all of which were targeted in this joint enforcement action.

The FBI advises cryptocurrency users to remain cautious and avoid opening dubious email links or messages. If a user experiences an attack, they should complete the FBI’s online form to assist with the investigation and minimize potential future damages.

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2024-10-18 12:57