Crypto casino Duelbits goes offline after $7 million hot wallet hack
Reported by CoinDesk · AI-assisted summary by ChikoCorp AI News Desk
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Summary
Crypto gambling platform Duelbits confirmed a hack resulting in approximately $7 million being stolen from its hot wallets across Ethereum, BNB Chain, Tron, and Bitcoin. In response, Duelbits took its site offline and stated that user funds remain safe. The attack involved a suspected private key compromise, and most stolen assets were converted to ether and consolidated in one address holding about 2,234 ETH, worth around $6 million, which has not moved as of the report.
Why it matters
The source implies the significance lies in the scale of the hack and the implications for security in crypto gambling platforms. Similar attacks, like the 2023 Stake hack involving a private key compromise and $40 million theft, highlight a continuing vulnerability for crypto casinos. The impact on user funds was mitigated as Duelbits claims user funds are safe, but the platform remains offline pending investigation.
Key context
Duelbits ranked 17th among 43 crypto casinos by on-chain deposits before the hack, with about $5.7 million held across monitored wallets. Private key compromises have previously targeted crypto casinos, including the largest by volume, Stake, in 2023. The attack used multiple blockchain networks, and quick asset swaps to ether were observed following the theft. Duelbits took preventive measures by taking the site offline and investigating the incident.
Key numbers and entities
Duelbits is the affected crypto gambling platform. The hack involved roughly $7 million stolen, including 836 ETH, about 593,000 USDT, 97,000 USDC, 31,500 DAI, 12.4 billion SHIB, and 8.1 BTC. The consolidated stolen ether amounts to approximately 2,234 ETH, valued near $6 million. Co-founder Joe made statements on X (formerly Twitter). Blockchain security firm Scam Sniffer initially flagged the incident. Prior comparison noted a $40 million Stake hack in 2023.
What remains unclear
Details about the exact vulnerability exploited, how the private key was compromised, and the timeline for Duelbits’ investigation and site restoration are unknown. It is not clear whether the $5.7 million deposit figure reported by DappRadar predates or follows the theft. The intentions or whereabouts of the attacker beyond asset consolidation have not been established.