Harmony, a cross-chain bridge protocol, has reportedly had $63.5 million in ETH stolen from it by the Lazarus Group, a North Korean hacking organization. According to data analysis by Zach XBT, the hackers used a DeFi privacy protocol called Railgun to transfer approximately 41,000 ETH from the Harmony cross-chain bridge. The stolen funds were then consolidated and deposited into three different exchanges.
Harmony Cross-Chain Bridge Hack
This is not the first time that the Harmony cross-chain bridge has been targeted by hackers. On June 24th of last year, the Horizon branch of the bridge was attacked, resulting in a loss of around $100 million. At the time, blockchain research company Elliptic determined that the Lazarus Group was likely behind the attack.
North Korean Involvement
The Lazarus Group is a well-known North Korean hacking organization that has been active for over a decade. The group has been linked to a number of high-profile cyber attacks, including the WannaCry ransomware attack of 2017 and the Sony Pictures hack of 2014. While the group’s activities have primarily focused on financial institutions and cryptocurrency exchanges, they have also targeted government agencies and military organizations.
Impact on Harmony and DeFi Space
The recent hack of the Harmony cross-chain bridge is a significant blow to the protocol and the DeFi space as a whole. The incident highlights the ongoing challenges faced by DeFi protocols in terms of security and highlights the need for improved measures to protect users’ assets.
Harmony has not yet issued a statement on the hack. As of now, it is not clear how the protocol plans to address the issue or whether the stolen funds will be recovered. The incident also raises questions about the safety of storing assets on cross-chain bridges, and the need for more robust security measures to protect users’ assets.
The theft of $63.5 million in ETH from the Harmony cross-chain bridge is a major setback for the protocol and the DeFi space. The involvement of the Lazarus Group, a well-known North Korean hacking organization, adds an international dimension to the incident. The hack highlights the ongoing security challenges faced by DeFi protocols and the need for improved measures to protect users’ assets. As the investigation into the incident continues, it will be important to closely monitor developments and any potential impact on the larger cryptocurrency market.
