Crypto gambling platform Stake experienced an unusual series of withdrawals totaling $16 million on September 4th, raising concerns of a possible hack. Security platform Cyvers Alerts flagged these transactions as "suspicious." The withdrawals were made to an account with no prior activity, which has been labeled "Stake.com Hacker" on Etherscan, suggesting a potential stolen private key.
🚨ALERT🚨Our AI-powered system has detected multiple suspicious transactions with @Stake.https://t.co/0ZoMITOyF5 address received about $16M in $ETH $USDC $USDT and $DAI
— 🚨 Cyvers Alerts 🚨 (@CyversAlerts) September 4, 2023
All the stable coins are converted to $ETH and distributed to different EOAs.
FYI: @tayvano_ @zachxbt pic.twitter.com/CSGwRHEiVm
Large and Suspicious Withdrawals
Blockchain data revealed significant withdrawals from Stake.com contracts to the alleged attacker's account. The first transfer consisted of around $3.9 million in Tether (USDT) stablecoin. Following that, two transactions moved approximately $9.8 million worth of Ether (ETH). The attacker continued to drain funds, taking USD Coin and Dai stablecoins, along with Stake Classic (STAKE) tokens. Cyvers estimated the total value of drained crypto at $16 million.
Distribution and Stake Platform
Distribution of Funds
After withdrawing the funds, the attacker dispersed them to multiple accounts. As of now, Stake has not released any official statement addressing the suspicious withdrawals.
Stake Gambling Platform
Stake is a cryptocurrency gambling protocol offering various casino games, dice games, and sports betting options.
Similar Incidents in 2023
This isn't the first instance in 2023 where crypto gambling sites have faced potential security breaches. In July, payments provider Alphapo experienced $31 million in suspicious withdrawals. Alphapo was utilized by several crypto gambling platforms, including Hypedrop, Bovada, and Ignition.
