New Crypto Exploit: Telcoin Temporarily Freezes Use of Decentralized Remittance App

There’s new crypto exploit that took place in the crypto space. Check out the latest reports about this below.

Telcoin, a cryptocurrency project that focuses on remittances, has provided an update following a cybersecurity breach that led to a loss of funds.

The project has acknowledged the situation with the Telcoin App and has therefore suspended the use of the app.

Cybersecurity firm PeckShield has reported that Telcoin was hacked, resulting in the loss of around $1.3 million worth of cryptocurrency assets.

As of writing, Telcoin is trading at $0.00168, down by 37% in the last 24 hours.

On the next course of action for the affected wallets, the remittances-focused crypto project says,

“We’ve identified the root cause, which was not an issue with the Telcoin Wallet code itself, but with the proxy implementation of the wallet on Polygon – primarily impacting wallets that have never initiated transactions. We have deployed a fix to stop further exploitation.

We plan to restore all wallets to their previous balances (for all affected assets) prior to turning the app service back on, which may take some time.”

Telcoin has reported that there were no breaches of keys, backend systems or user data.

The Telcoin App provides a way for users to send fiat currency to over a dozen countries worldwide, and also offers features such as depositing, sending, receiving, withdrawing, and trading different digital assets.

These transactions are carried out through a decentralized liquidity network that operates on the Ethereum layer-2 platform Polygon (MATIC).

In other recent news, analysts from three cryptocurrency exchanges and a crypto lending platform predict that institutional investors will show a greater interest in the cryptocurrency sector in 2024.

This trend will be driven by the potential approval of a spot bitcoin ETF, expected rate cuts by the U.S. Federal Reserve, and greater regulatory clarity.