The EtherDelta hack case files are open again and this time, the US Attorney’s office has names to give.
The primitive- although still new by industry standards- methods have not been much successful in handling crime. EOS has seen a security breach in the first quarter of this month when a hacker took thirty thousand dollars ($30,000) worth of EOS tokens from one of their gambling apps.
Such circumstances have led security firms and cryptocurrency firms alike to take bolder steps in safeguarding data. The decentralized networks were supposed to do that but by the looks of how things are going, there seems to be no measure extreme enough to be taken to ensure data security.
One such precautionary measure is taken by SpaceChain who plan to set up one of their nodes in space. They’ve been skeptic about the potential risks that come with the blockchains and hence, they decided if the data archive can’t be reached, it won’t be affected.
Inside the EtherDelta hack
The suspects, Elliot Gunton and Anthony Tyler Nashatka, were indicted by the United States attorney’s office for the Northern District of California, and the charges against them are for impersonating as EtherDelta’s employees and ripping unsuspecting customers.
EtherDelta is s non-custodial marketplace for trading Ethereum (ETH) and other ERC-20 tokens. The crime was committed in December 2017 and in the documents filed on August 13, indicate that Ganton and Nashatka changed the domain name system to mislead customers into their ploy.
The suspects got hold of an Ether Delta employee’s phone number and used it to hack into their email account. Then it was a matter of time when they were finally finished with a fake website that the customers from the original one would be redirected to. Visitors were asked to reveal their private keys on the phony website and would lose their assets. According to EtherDelta, the exchange suffered a total loss of eight hundred thousand dollars ($800,000) in the process and the amount of funds stolen is still a mystery.