The bear market continues to deepen. There are no new projects in the market, no interactive airdrops, and no sharp rise or fall in contracts. Most people are just lying down and waiting. However, hackers are very active. Recently, many wallets have been hacked, resulting in huge losses.
In the past two days, it was revealed that the old project Mixin was hacked, and the database of the Mixin Network cloud service provider was attacked by hackers, resulting in the loss of some assets on the main network, especially Bitcoin core assets. The funds involved were approximately US$200 million.
The way to play Mixin is that users exchange their assets for BTC and other tokens in the Mixin ecosystem. Users do not have private keys, but only manage their accounts through mobile phone numbers + pin codes.
If you want to withdraw money or perform other operations, you need to go through the platform customer service and then perform the corresponding operations; if the platform no longer operates, runs away, or is hacked, the website cannot be opened, and the assets are lost.
The report said that Mixin is also one of the projects invested by Li Xiaolai. Many people read his book "Let Time Make You Rich Slowly" and started to invest regularly. Some people invested in BTC in Mixin.
Mixin founder Feng Xiaodong responded in a live broadcast that the official will compensate users for their losses, 50% first, and the remaining part will be paid in the form of bond tokens. In the future, the official will use profits for repurchase.
Of course, the progress and standards of compensation are uncertain, because the BTC is not in your hands, all operations can only be passively waited and accepted.
A friend in a group asked his friend to put millions of assets in Mixin, and most of them were BTC. Now Mixin has been stolen, and I don’t know how to face this friend in the future.
There is also a group member who has invested 1.6 BTC in the past four years, and now he doesn’t know where to get it back.
The amount of money stolen from Mixin reached 200 million US dollars. I don’t know how many retail players have benefited from it. The bear market is really difficult.
The cloud service provider’s data was stolen and the main network assets were lost, causing risks to the entire project; some friends had their wallets stolen, but they had no idea how they were stolen and could not find the problem.
Some time ago, a friend in the group had 21wu stolen from his tp wallet. His wallet did not authorize any protocol, and the network connection was very cautious. He didn't even have any additional apps installed on his phone, but the assets in his wallet were transferred away, and he didn't know which link went wrong.
If the mnemonic phrase was leaked, we don't know which link it was leaked in, and there is no way to recover it now. There is no way at all.
Another group member used an instant messaging tool. Because the other party's account was stolen, he transferred money to the wallet address provided by the scammer and lost 15wu.
The other party cancelled the account immediately after receiving the message and I cannot find him at all. Now I have nowhere to complain to. I only have a wallet address and I don’t know who to contact or where to go to recover the loss.
There are also many barriers to using blockchain wallets and transactions. You don’t know which link is a trap and you can fall into it if you are not careful. Whether you are a new or old player, if you are not careful, your assets will be reduced to zero, stolen, or hacked. It is hard to guard against.
With the recent frequent hacker activities, many people are wondering what the essence of blockchain is.
Blockchain has the characteristics of decentralization, transparency, immutability, anonymity, etc., but any technology has two sides. BTC is the first product of blockchain technology, which is displayed through a string of irregular characters.
The amount of assets on the chain is also expressed through a corresponding set of public and private keys. The public key corresponds to the BTC account, and the private key corresponds to the password. If you don’t have your own password, you can’t say you own BTC.
Any behavior of entrusting the BTC private key to a third party carries huge risks. When you give your wallet to a third party, why do you expect the other party to protect your wallet?
Mixin's method is to help users keep private keys. If the platform acts maliciously, it can directly take away the user's assets. The current practice of storing assets in various exchanges also requires a third party to keep the wallet, which also involves certain risks, as many platforms have run away in the bear market.
The best way is to create your own wallet and save your private key. As a blockchain player, you must know how to protect your private key, because this is your core asset and you cannot get it back if you lose it.
There is an entry threshold for blockchain players. If they don’t learn, they will definitely be educated by the market. And once they are educated by the market, the tuition they pay will be huge.
Improve your awareness, pay attention to wallet risks, and protect your mnemonics, so that your hard-earned 100,000, 1 million, or even 10 million will not be passively reduced to zero in uncertainty. That would be really painful.
The above is just my personal opinion, no investment advice. I am Chu Xiaolian, I am paying attention to the crypto market and web3.
