Atomic Wallet Halts $2 Million in Suspicious Deposits

Atomic Wallet, a compromised cryptocurrency wallet, has suspended $2 million in “suspicious deposits” in collaboration with major cryptocurrency exchanges.

Atomic Wallet announced the news on October 19, stating that blockchain intelligence firms Chainalysis and Crystal assisted in identifying and containing the threat.

Citing reports from Chainalysis and Crystal, Atomic Wallet reported that theAtomic Wallet reported that the “threat actor” used sophisticated methods, including bridges and mixers, to connect the funds to the Bitcoin blockchain.

The majority of funds have landed on the Tron blockchain and Bitcoin network, the report states. The report stated that the funds were transferred via the Avalanche bridge and then to the Tron blockchain.

Atomic Wallet expresses its deepest appreciation to the centralized cryptocurrency exchanges that collaborated swiftly to block assets associated with reported transactions.

Their prompt response and cooperation were instrumental in mitigating the impact of the incident that affected certain users, the company stated in an announcement.

The news comes months after the June 2023 breach of Atomic Wallet, in which the platform allegedly lost millions in stolen crypto assets.

Atomic Wallet did not specify the precise circumstances that led to the exploit.

A group of affected Atomic Wallet users purportedly filed a class action lawsuit in August against the company, which suffered a significant data breach and $100 million in losses.