Cyvers Detects Suspicious Activity On Phemex Hot Wallets With Potential $37M Loss
In Brief
Cyvers reports detecting multiple suspicious transactions involving hot wallets belonging to Phemex across several blockchains, while the exchange’s cold wallets remain secure.
Real-time security alerts platform Cyvers Alerts reported detecting multiple suspicious transactions involving hot wallets belonging to the cryptocurrency derivatives trading platform Phemex across several blockchains.
According to Cyvers, these suspicious transactions resulted in the transfer of over $29 million worth of digital assets. The affected blockchains included BNB Chain, Ethereum, Optimism, Polygon, Base, and Arbitrum. Cyvers also observed that the addresses involved in these transactions began swapping the stolen assets for ETH.
Following further analysis, Cyvers expanded its findings to include the Bitcoin and Tron blockchains, potentially increasing the estimated total loss to approximately $37 million.
In response to the attack, Phemex posted an update on the social media platform X, acknowledging the issue and stating that they are currently investigating the incident involving one of their hot wallets. However, Phemex emphasized that its cold wallets remain secure and that users can independently verify the status of these cold wallets in real-time. The platform promised to provide further updates on the situation shortly.
The exchange also temporarily suspended withdrawals while it conducts an emergency inspection.
What Is Phemex?
Phemex specializes in derivatives trading, such as futures and options. Founded in 2019 by former Morgan Stanley executives and based in Singapore, it distinguishes itself through features like low trading fees, deep liquidity pools, and fast order execution speeds under 1 millisecond. The platform emphasizes user experience with features such as intuitive charting tools, a user-friendly wallet interface, and a streamlined registration process. Phemex supports spot trading, contract trading, and margin trading across a broad range of cryptocurrencies.
Phemex boasts a high-performance trading engine capable of processing a large volume of transactions, reportedly handling up to 300,000 transactions per second. The platform supports a diverse selection of cryptocurrencies, with over 250 assets available for trading. It offers a wide range of trading pairs, including over 137 contract trading pairs and 238 spot trading pairs.
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About The Author
Alisa, a dedicated journalist at the MPost, specializes in cryptocurrency, zero-knowledge proofs, investments, and the expansive realm of Web3. With a keen eye for emerging trends and technologies, she delivers comprehensive coverage to inform and engage readers in the ever-evolving landscape of digital finance.
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Alisa, a dedicated journalist at the MPost, specializes in cryptocurrency, zero-knowledge proofs, investments, and the expansive realm of Web3. With a keen eye for emerging trends and technologies, she delivers comprehensive coverage to inform and engage readers in the ever-evolving landscape of digital finance.
