Gaurav Dahake, CEO of the Bitcoin exchange, admitted at an AMA session that the exchange was hacked 13 months ago. cryptocoin.comWe have compiled the statements made by the CEO of the stock market for you.
Bitcoin exchange admits attack
On Twitter, crypto detective ZachXBT claimed that Indian crypto exchange Bitbns covered up a hack on February 1, 2022, under the phrase ‘system maintenance’. ZachXBT shared a screenshot of the maintenance tweet he shared when the BitBNS exchange was hacked on March 1, 2023. Bitbns CEO Gaurav Dahake admitted at an AMA session today that the stock market was indeed hacked 13 months ago. However, Dahake claimed that the system was taken offline to analyze anomalies and there was no delicacy to hide the hack.
Dahake said Bitbns took the exchange offline when the team noticed surprisingly high throughput on its servers. The team later discovered that the prices of Polygon (MATIC), BNB (BNB), and Aave (AAVE) were incorrect and there was a difference in the buying and selling prices of the tokens. He also said that the team noticed some anomalies in the withdrawals.
Let’s call out the crypto exchange @bitbns for hiding a $7.5m hack from their users on February 1 2022 and then proceeding to tell them it was “system maintenance”
0x24f361E1eeEdF29fd6D724C9393132D61c51ebB1 pic.twitter.com/a3aBqlgW0z
— ZachXBT (@zachxbt) February 28, 2023
During this investigation, the team noticed that a particular address received different tokens from the platform and warned them of the hack. These stolen assets were then converted to Ethereum (ETH) and sent to different addresses. While Dahake did not confirm the number of assets stolen in the attack, ZachXBT claimed the assets were worth $7.5 million.
Dahake essentially glossed over the hack as something ‘not abnormal’ in the crypto space, as most major exchanges, including Binance, were hacked at certain times. He said that after such incidents, exchanges improved their security systems and Bitbns was running ‘smoothly’ for 13 months after the attack.
The CEO of the exchange made statements
Responding to the allegations, Dahake made statements by going live on YouTube. In his statement he stated:
“We found issues with a few token prices in particular, there was a difference in buy and sell prices. At that time, some users were trying to withdraw money. We wanted to analyze the funds and found that at a given address, a certain amount of funds went from different tokens and they were converted to Ethereum and went to different addresses.”
According to Dahake, this was not an abnormal activity. Binance, KuKoin etc. It had happened to multiple exchanges across the country multiple times. “When a security issue like this comes up, you try to fix the checks and balances in place,” he said.
Dahake claims that its exchange is currently the only exchange in India that allows crypto withdrawals. Since February 2022, BitBNS has seen unusually high withdrawals. TDS and taxes on cryptocurrencies were then implemented, followed by the Luna crash and the FTX crash.
