On Wednesday the 14th of November 2018 we were alerted to some questionable trades on the Doge-BTC Market, A user had placed a buy order for just over 11btc worth of Dogecoin at 100 sats price which is way above the current price, Said user then went on and bought mass amounts of x42 off the books pumping the price.
Upon checking the bitcoin wallet we noticed it was empty and we instantly locked down the users account and suspended trading and withdraws so we could investigate.
There was no breach to any of the wallet servers nor to the actual website server itself and there was no injections on any open ports.
We have now learned after speaking with security experts in the field there seems to be a vulnerability in the OpenSource exchange script we were using (OpenTrade) that allows a user to inject a false balance which is what has happened here.
After investigating all of the logs and balances here is what the hacker has taken:
21435 of that x42 was recovered with the help of Start-ex.
We also managed to recover:
before they could withdraw them from the exchange.
I know the hacker will have used fake details but here is the information we have on them:
Off exchange BTC address coins were withdrawn to:
Off exchange Dogecoin address coins were withdrawn to: https://dogechain.info/address/DDJWcffLV6x88Uk1eMhqArwrc45hoJ6SVg
Due to the vulnerability in the OpenTrade platform we have decided not to re-open the exchange for trading and we have disabled automatic withdraws to ensure no one can manipulate and steal any more balances.
We have removed all of the hackers trades from the exchange and credited back balances of the coins you held and we are inviting users of AltMarkets to request a refund of their balances via ticket process.
Ticket requests between 15th - 22nd of November 2018 are currently being actioned, We have refunded over most people and will continue to refund the remaining open tickets over the next few days but we are no longer accepting new tickets, Thanks for your support.