The BXH incident shows security issues, distributed storage protects data

BXH was attacked by hackers and user assets were transferred!

On October 30th, the BXH was attacked on the BSC chain. Until now, the first hacker’s profitable address has transferred 4000 ETH from the BSC chain to the ETH chain, and then converted 300 BTCB to renBTC Cross-chain to address, preliminary statistics are about 139 million dollars.

According to the analysis of the blockchain security agency SlowMist, before the incident, the BXH management wallet address had the operation of “giving the attack contract management authority”.It caused the attack contract to transfer assets from the BXH strategy pool. The part of the stolen funds has been transferred to other chain.

BXH become the first decentralized exchange to lose assets due to the leakage of private keys.

Many users have big doubt about this event. Why is BXH able to open the fund management authority to hackers? It’s similar to steal the assets that it protected by yourself. For this, BXH officials only responded to the “private key leak” and issued a reward of millions of dollars to recruit white hats for asset recovery. .

After this event, the BXH team stated that the assets are safe on Heco, OEC, and Ethereum chain , but due to security considerations, the official temporarily suspended the application’s deposit and withdrawal services and was affected by this. Coinwind and Earn DeFi, the machine gun pool apps that rely on the exchange’s liquidity, also closed deposits and withdrawals.

The day after the 139 million dollars worth of encrypted assets was stolen, BXH publicized the remaining assets of its fund pool on the BSC chain on official social media, including USDT, USDC, BTC, ETH, BUSD, and MDX, around 184 million dollars.

We have better and more scientific management methods for private keys. For example, using multi-person signatures; adding time locks; for personal privacy data, we can use decentralized distributed storage to protect our data.

Distributed storage protect the data security

Decentralization has become the cornerstone of our information storage. All data is stored in a distributed storage network. Based on the decentralization and non-tampering characteristics of the blockchain, the stored information will be fragmented and distributed across multiple nodes. Even if the date was stolen, hackers also can’t obtain correct private information.It greatly reduces the risk of data loss .

With hash password , data privacy and security can be better protected, the value of data can be used to form credible data, which greatly reduces the cost of storage and transmission, but also improves the safety factor of data storage and better optimization The current phenomenon of data storage and transmission.

With the passage of time, people’s demand for storage is increasing, more and more people will participate in the construction of distributed storage to jointly promote the development. The demand for distributed storage in the future will increase. The value will also become greater !