Reports on Twitter suggest that users of Atomic Wallet have suffered complete losses of their crypto portfolios after the wallet was exploited. Atomic Wallet is a non-custodial and decentralized wallet, which means it is the user’s responsibility to safeguard their assets stored in the application. On June 3, Atomic’s team tweeted that they had received reports of compromised wallets and were actively investigating the situation. Several users reported losses, and on-chain investigator ZachBTX is assisting in the investigation. At present, there is no information on how the attack took place. Atomic Wallet claims to have over 5 million users.
God damn, All of my hard working money has been vanished from atomic wallet only!!!! This is your responsibility to secure the funds, What will happened to our funds? please do not copy paste anything here! just give all clear answer, Many users are faced with this today!!
— Tom (@Christomos03) June 3, 2023
Previous Twitter reports have also suggested that funds on the Atomic Wallet app have been stolen in the past. As crypto hacks continue to increase each week, the attack on Atomic Wallet adds to the growing list. Commenting on the situation, a user described the loss of their BTC six months ago through Atomic, claiming that they had informed the company but received an inadequate response. Decentralized Finance (DeFi) app Jimbos Protocol and crypto mixer, Tornado Cash, have been successfully hacked in recent times. According to reports, crypto hackers stole around $3.8 billion last year through mainly North Korea-linked attackers and DeFi protocols. Analysis from TRM Labs suggests that while the number of incidents remained the same in the first quarter of 2023, the average hack size dropped to $10.5 million from nearly $30 million in the first quarter of 2022. However, TRM Labs warned that a few large-scale attacks could shift the scales once again in the future.
In light of such incidents, the question arises as to whether crypto projects should negotiate with hackers. Some experts argue that it can be a viable solution, while others believe it only encourages further attacks.
