U.K. crypto exchange Lykke reports US$22 million cyberattack, assures customer funds’ safety

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11th June 2024 – (London) U.K.-based exchange Lykke reveals a devastating cyberattack that led to the loss of more than $22 million in crypto assets. The exchange acknowledges the breach, which took place on June 4, following the disclosure of the incident by renowned web3 threats researcher @somaxbt on various online platforms.

Lykke promptly responded to the attack by shutting down affected systems to mitigate further damage. The exchange assures its customers that the security vulnerabilities have been thoroughly examined and effectively addressed. While the exact cause of the hack remains undisclosed, Lykke emphasizes its robust financial health, boasting solid capital reserves and a diverse portfolio to ensure the safety of clients’ funds.

The internal investigation has successfully identified the IP addresses associated with the attacker, instilling confidence that the stolen crypto assets will be recovered. As a preventive measure, Lykke has temporarily halted all withdrawals and deposits, with no specified timeline for resuming normal operations. The exchange’s website remains inactive until further notice, as the team continues to assess the situation and implement necessary security measures.

This incident marks one of the largest crypto thefts in the second quarter of this year, following the $300 million hack on Japanese Bitcoin exchange DMM in May. Lykke’s focus remains on safeguarding customer interests and facilitating the recovery process, amidst the ongoing efforts to strengthen the security infrastructure of the exchange.