The exchange did not provide any further details regarding the incident. It did not specify if it was able to recover the $13.7 million or if it compensated users from its own treasury. Medianama has reached out to M2 asking for further details and will update this story if we receive a response.
The attack was flagged by cybersecurity firm Cyvers on X (formerly Twitter), who reported that 3.7 million tokens of USDT, 97 million tokens of SHIB, and 1,378 tokens of ETH were stolen, which were then converted entirely to ETH.
The cryptocurrency industry is still reeling from a hack in July this year that left WazirX, India’s largest crypto exchange, in the lurch for $230 million. Even after the hack, the exchange opted not to compensate users but made an attempt to “socialise the losses” by trying to lock 45% of all user wallets. This included funds belonging to fellow exchange CoinSwitch, which compensated its own users. While it eventually scrapped the plan, WazirX later froze 34% of its users INR wallets due to ongoing law enforcement investigations.
WazirX is currently following a debt restructuring plan under the Singapore High Court.
