{"id":25654,"date":"2019-02-26T15:33:32","date_gmt":"2019-02-26T15:33:32","guid":{"rendered":"http:\/\/d65f074e-0581-4d0b-aed2-db8181878ce0"},"modified":"2019-02-26T15:33:32","modified_gmt":"2019-02-26T15:33:32","slug":"hacker-steals-7-7-million-in-eos-cryptocurrency-after-blacklist-snafu","status":"publish","type":"post","link":"https:\/\/www.threatshub.org\/blog\/hacker-steals-7-7-million-in-eos-cryptocurrency-after-blacklist-snafu\/","title":{"rendered":"Hacker steals $7.7 million in EOS cryptocurrency after blacklist snafu"},"content":{"rendered":"

\"EOS\"\/<\/span>Logo copyright: EOS \/\/ Composition: ZDNet<\/span><\/p>\n

A hacker has stolen $7.7 million worth of EOS cryptocurrency after one of the 21 maintainers of an EOS blacklist failed to do its job.<\/p>\n

\n

More security news<\/span><\/h3>\n<\/div>\n

The hack came to light on Saturday, February 23, in a Telegram public post<\/a> by EOS42, a web-based community of EOS cryptocurrency owners.<\/p>\n

EOS42 (also known as EOS Go<\/a>) said that one of its users had their EOS account compromised by a hacker on February 22.<\/p>\n

After discovering the hack, the unnamed user followed a normal security procedure that was hard-coded inside the EOS blockchain code to allow the blacklisting of malicious accounts.<\/p>\n

The procedure implied notifying the top 21 “block producers” (a term used to describe the most efficient miners of new EOS cryptocurrency) of the malicious account’s EOS address.<\/p>\n

The 21 top block producers would then update a blacklist of banned EOS addresses that cryptocurrency exchanges would use to ban malicious accounts from interacting with their platforms, preventing hackers and other entities from moving stolen funds.<\/p>\n

The procedure was put in place to prevent hackers from stealing funds, but it did not work as intended over the weekend.<\/p>\n

\n<\/section>\n

“All top 21 Block Producers<\/a> must have their blacklist updated. If only one top 21 BP does not have an updated blacklist, hacked accounts are vulnerable to being emptied,” said the EOS42 team in a Medium blog post<\/a>.<\/p>\n

“This scenario played out in the last 24hrs when a newly rotated top 21 BP failed to apply the blacklist. Unfortunately, one blacklisted account holding [2 million] EOS began to be emptied,” EOS42 said.<\/p>\n

The EOS block producer who failed to update its blacklist was identified as games.eos<\/a>, a platform for developing EOS-based blockchain games, which recently entered the top 21 block producer ranking and was not running an up-to-date blacklist.<\/p>\n

According to current reports, the hacker moved 2.09 million EOS coins from the hacked account to several accounts at various cryptocurrency exchanges.<\/p>\n

Following the EOS42 Telegram post, the Huobi exchange platform froze accounts to which the hacker sent funds. However, the hacker got away with a nice sum, as not all exchanges did the same.<\/p>\n

\n
\n

On Feb 22 at 17:35 (GMT+8), the Huobi Security team monitored that #ECAF<\/a> (EOS Core Arbitration Forum) blacklisted accounts had sudden flow of assets into Huobi accounts. These $EOS<\/a> accounts have subsequently been frozen, including relevant assets related to these accounts.<\/p>\n

\u2014 HuobiGlobal (@HuobiGlobal) February 23, 2019<\/a><\/p><\/blockquote>\n<\/div>\n

Following the incident, EOS42 is now proposing that the EOS blockchain maintainers replace the shoddy “blacklist” mechanism with a more democratic system where if 15 out of 21 EOS block producers update their blacklist, an account key is nulled, blocking access to the hacked account.<\/p>\n

This opens the door for quicker takedowns of hacked accounts, but also to the possibility of re-enabling access for the account’s legitimate owner down the line.<\/p>\n

EOS42 argued that the previous blacklist approach was flawed because “in the most egregious form, any hacker could corrupt one BP by incentivizing them with a reward for ‘failing’ to update their blacklist.”<\/p>\n

Related cybersecurity news coverage:<\/h3>\n

READ MORE HERE<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

One of 21 EOS blacklist maintainers failed to update its list, allowing the hacker to make off with the stolen funds.
\nREAD MORE HERE…<\/p>\n","protected":false},"author":2,"featured_media":25655,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"colormag_page_layout":"default_layout","footnotes":""},"categories":[62],"tags":[],"class_list":["post-25654","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-zdnet-security"],"yoast_head":"\nHacker steals $7.7 million in EOS cryptocurrency after blacklist snafu 2026 | ThreatsHub Cybersecurity News<\/title>\n<meta name=\"description\" content=\"ThreatsHub Cybersecurity News | ThreatsHub.org | Cloud Security & Cyber Threats Analysis Hub. 100% Free OSINT Threat Intelligent and Cybersecurity News.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.threatshub.org\/blog\/hacker-steals-7-7-million-in-eos-cryptocurrency-after-blacklist-snafu\/\" 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