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Enigma, a cryptocurrency investment platform was miserably hacked on August 21st, during their training for a crypto-token sale for their Initial coin offering (ICO). It was meant to be a method of raising capital using digital currencies, that would be launched on 11 September.

Unfortunately, the company’s website, slack accounts and mailing lists were overtaken by hackers. Furthermore, the website was changed and many fake emails and messages were sent to visitors and those interested, influencing them to deposit money.

It was reported by TechCrunch that the $500,000 worth of Ethereum stolen was not from the company alone, but the large Enigma community with their slack members and mailing list. That’s a shocker since the Enigma staff had imposed a strict warning that they would never request for money this way yet, a large amount of the digital currency was stolen.


Highlight the security errors

When it comes to thinking how such an attack could be carried out, reports prove that there were some weak points like two-factor authentication missing from the affected channels. There must’ve been a leakage of at least one of the account passwords, which would lead to this.

The company has broadcasted temporary closing of its Slack channel.


Story Creditssiliconrepublic

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