WazirX, Liminal Custody Blame Each Other as $230M Crypto Exploit Leaves Customers Stranded

Liminal Custody said three WazirX wallets were breached in the lead-up to the $230 million exploit.

WazirX said that a discrepancy on Liminal’s interface triggered the loss. If filed a police report today.

Security firm Elliptic said on Thursday that North Korean hackers appear to be behind the hack.

WazirX and Liminal Custody, the two firms at the center of yesterday’s $230 million exploit, are blaming each other for the success of the attack, leaving users in the dark over the security of their funds.

In a post on X, Indian crypto exchange WazirX said the exploit was related to a multisig wallet using Liminal’s digital asset custody service. The attack stemmed from a “discrepancy between the data displayed on Liminal’s interface and the transaction’s actual contents,” it said.

Liminal, for its part, said its infrastructure had not been breached and that all wallets – including WazirX’s – remain safe. A multisig wallet is one that requires several people to sign a transaction before it can be executed.

“There is no breach in Liminal’s infrastructure, wallets and assets,” Liminal said in a blog post. “Unfortunately three of the victims machines have been found injecting malicious payloads into the transaction indicating a sophisticated, well planned and targeted attack on one specific Gnosis Smart Contract Multi-Sig wallet.”

The exchange filed a police report and engaged with the Indian Computer Emergency Response Team (CERT-In) earlier today. The stolen funds account for more than 45% of its $500 million holdings, according to a transparency report from June. Crypto security firm Elliptic said that North Korean hackers appear to be behind the exploit.

Liminal did not respond to a request for comment.

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