Crypto.com Stops Withdrawals Because Of Suspicious Activity

Crypto.com stops withdrawals due to suspicious activity after Dogecoin founder Billy Markus noticed a suspicious pattern on Etherscan that eventually prompted the company to stop the transactions for the time being as we are reading further in our latest cryptocurrency news.

Crypto.com stops withdrawals after a smaller number of users reported suspicious activity on their accounts but the funds remain safe at the moment. A few hours ago, Crypto.com stopped withdrawals from the platform in response to “theft” reports by customers. Dogecoin founder Billy Markus noticed a suspicious transaction pattern on Etherscan which made the company halt the transactions until they figure out what is going on with the platform.

I see odd activity on one of the Ethereum hot wallets on https://t.co/AbuAAkBxG1 – https://t.co/7l7MgCLnoG

It’s a pattern, the wallets receiving look like this https://t.co/2Gf48D3fqm, multiple of the same transactions to a new wallet between 2-5 ETH, funds not moved after that. https://t.co/tbGJ5RqpXS

— Shibetoshi Nakamoto (@BillyM2k) January 17, 2022

Ben Baller is a crypto enthusiast who claimed that his account had been breached losing 4.28 Ether and he also said that he used two-factor authentication so the perpetrators have bypassed some of the exchanges’ security features. There are not too many details about the issue still but we will update the article as soon as we have some more info. The crypto industry is no stranger to hacks and rug-pulls as we saw earlier this month, the decentralized finance security platform and bug bounty service Immunefi found losses from hacks and scams surpassed $10.2 billion in 2021. according to the report, there were 120 crypto exploits with the high-valued hack being the Poly Network at $613 million.

We have a small number of users reporting suspicious activity on their accounts.

We will be pausing withdrawals shortly, as our team is investigating. All funds are safe.

— Crypto.com (@cryptocom) January 17, 2022

As recently reported, the Prominent crypto exchange Crypto.com acquires NADEX and Small Exchange, both of which are CFTC-regulated venues that are going to help the platform cater to US-based customers and to offer trading opportunities of certain derivatives and future products. As per a press release, Singapore-based Crypto.com announced a sale and purchase agreement to acquire two Commodity Futures Trading Commission regulated venues, Small Exchange and NADEX. For the unintended, NADEX is short for North American Derivatives Exchange and it is focused on retail but works as a regulated online exchange and clearinghouse. The Small Exchange is also a retail-user-focused futures exchange that is involved in offering small and simple products.

The exchange forged some of the most high-profile partnerships at the start of the year. The reports show that the exchange’s deal with Silvergate to facilitate the deposits and withdrawals of USD to the institutional players and even went on to become the first asset trading platform to comply with SOC-2 standards.