A major security crisis at a crypto company: Millions of dollars stolen.

This year, Radiant Capital, which has been subjected to a major cyber attack for the second time, lost 50 million dollars. Attackers who exploited security vulnerabilities seized the platform's private keys, leading to significant financial damage. The security flaws of the blockchain-based lending platform raise questions about the industry's security standards.

Radiant Capital Shaken by Second Security Breach

The blockchain-based finance platform Radiant Capital recently suffered a serious cyber attack. As a result of the attack, the platform experienced a loss of digital assets worth approximately 50 million dollars. This incident marks the second major security breach Radiant Capital has faced in 2024.

According to initial examinations by security experts, the attackers managed to seize the platform's management keys. Hackers who took control of Radiant Capital's blockchain contracts exploited a vulnerability in the system using the 'transferFrom' function on the BSC and ARB networks. This allowed them to successfully withdraw valuable cryptocurrencies such as USDC, WBNB, and Ethereum (ETH) from the platform's accounts.

The details of the incident were also confirmed by the Web3 security company De.Fi X. According to the company's statement, the multi-signature wallet managing Radiant Capital's smart contracts had 11 authorized signers. Nevertheless, the attackers' access to the private keys of just three signers was sufficient for them to take control of the platform.

Radiant Capital stood out as a platform offering a wide range of services that allowed users to transfer cryptocurrencies across different blockchain networks. However, this attack indicates that the platform is struggling with security issues. In fact, it had already suffered a loss of 4.5 million dollars due to a similar security vulnerability in January.

Although the exact details of how the attack occurred have not yet been clarified, some members of the Ethereum security community suggested that the incident might have stemmed from a user interface security vulnerability. This theory suggests that legal key holders may have unknowingly interacted with malicious software.

Radiant confirmed the incident through a statement on its official X (formerly Twitter) account and stated that they are aware of the situation. They also announced that they are collaborating with leading security firms such as SEAL911, Hypernative, ZeroShadow, and Chainalysis to resolve the issue and will release an update as soon as possible.

Managed by an independent community, Radiant Capital was continuing its efforts to consolidate fragmented liquidity in Web3 money markets. Following this incident, Radiant Lending markets in various locations were temporarily closed until a new announcement.