Kronos Research halts trading after $25M API key hack

Hacker steals $25 million from Kronos Research

Quantitative trading firm Kronos Research has temporarily halted its trading services after a hacker gained access to its API keys and made off with $25 million. The unauthorized entity transferred the funds into six different crypto wallet addresses. Kronos Research is currently conducting internal investigations to identify the culprit and aims to resume trading as soon as possible, stating that the potential losses do not significantly impact its equity.

Rising number of crypto hacks raises concerns

This incident highlights the importance for investors to thoroughly research and assess the security of projects they plan to invest in. According to blockchain security firm CertiK, the third quarter of 2023 was particularly damaging for the crypto industry, with over $700 million lost in various security incidents. Private key exploits, exit scams, and oracle manipulation were among the most prevalent techniques used by hackers. This surpasses the losses seen in the first and second quarters of the year.