European crypto investment platform Swissborg has fallen victim to a security breach, with the hackers reportedly stealing 192,600 Solana tokens worth about $41.5 million.
The news was made available by on-chain investigator ZachXBT, who claimed that the theft had happened some minutes before he made his post. He also noted that the security breach happened directly on the Solana network.
Swissborg confirms token loss incident
In a post on the X, ZachXBT revealed the alleged wallet address of the offender, identifying it as “TYFWG3hvvxWMs2KXEk8cDuJCsXEYKs65eeqpD9P4mK1.” At the time of this report, SwissBorg had confirmed the security breach through its X platform account.
“A partner API was compromised, impacting our SOL Earn Program (~193k SOL, <1% of users). Rest assured, the SwissBorg app remains fully secure and all other funds in Earn programs are 100% safe, ” SwissBorg said. The firm also shared other details, including recovery plans.
In its recovery plans, Swissborg claimed it would “allocate SwissBorg’s SOL Treasury so users can recover a significant portion of their balance, with figures set to be finalized soon.” It also mentioned that other activities are ongoing, which will include “engaging white-hat hackers & security partners to recover compromised funds to make all users whole.”
The platform also mentioned that it would reach out to the affected users via email with other explanations. According to its post, other programs on the platform remain unaffected. “SwissBorg is in good financial health, and this incident does not affect Day-to-day operations,” wrote the company.
Some crypto enthusiasts appreciated the “swift response,” transparency, and explanations by Swissborg, adding that such incidents happen to “the best of exchanges.” But others were not impressed. SwissBorg is popular in Europe, offering centralized applications for buying and selling and earning yield on a range of digital assets.
The crypto investment platform last year announced its compliance with the UK’s Financial Conduct Authority’s stringent rules. The recent security breach is another blow to the digital asset space as it continues to battle with sophisticated security threats. The incident also highlights the risks that are associated with both centralized and decentralized platforms, which underscores the urgent need for strong security measures.
