Kronos Research, a crypto trading firm based in Taipei, has acknowledged a security breach that resulted in a $26 million hack through unauthorised access to its API keys.
This breach led to the temporary suspension of trading activities on the Woo network, a crypto trading platform heavily dependent on Kronos.
The incident, publicly disclosed on 19 November, prompted Kronos to halt all trading operations as it conducts a thorough investigation into the breach.
While the firm assured stakeholders of its stable standing and pledged to cover all losses without impacting partners, specific details about the hack were not disclosed.
Crypto investigator ZachXBT revealed a transfer of 12,800 ETH (valued at $25 million) to addresses associated with the incident.
Kronos is actively working on restoring services for the crypto exchanges and token projects it supports, marking its first trading suspension since 2018.
The aftermath impacted Woo Network, which reassured users about the safety of client funds and announced a temporary pause on specific asset pairs due to the liquidity gap resulting from Kronos’s trading suspension.
The platform has since resumed spot and perpetual trading activities and asset withdrawals.
In addition to the security breach, Woo Network also faced a distributed denial-of-service (DDoS) attack on its homepage, prompting measures to optimize CloudFlare for future disruptions.
Users experiencing issues, such as delayed withdrawals due to intensified security checks, were advised to submit tickets on the platform’s website for resolution.
A user on Woo has observed a slower-than-usual processing time for withdrawals, citing intensified security checks as the cause.