MyAlgo, one of the most popular wallets in the Algorand (ALGO) network, was recently hacked. We are talking about a $9.2 million incident! In response to this incident, the company quickly alerted its users and advised those who store their private keys in internet browsers to quickly withdraw their funds.
MyAlgo asks users to withdraw their funds
Supplier MyAlgo recently alerted its customers to a probable hack targeting only wallets established with a seed phrase stored on the internet browser. MyAlgo asks its users to withdraw all their funds as soon as possible or to move them to a new third-party Wallet, such as Defly or Pera Web as soon as possible.
MyAlgo have also reported that the attacks which took place last week targeted exclusively the most important accounts of MyAlgo. According to John Wood, technical director of the Algorand Foundation, around 25 accounts were vulnerable in these attacks.
Moreover, MyAlgo posted a detailed guide on their Twitter account, explaining the steps to transfer their funds to the recommended wallets. Note that the Re-key is a feature of the Algorand Wallet, allowing an account owner to keep a public address by having multiple private keys from another account.
MyAlgo hacked after reassuring audit results announced, over $9.2M stolen
A few days ago, MyAlgo announced the results of its security audit, saying its proprietary software development kit showed no issues. However, the site was the victim of a major hack. According to ZachXBT, hackers managed to grab over $9.2 million from top MyAlgo accounts. Part of this sum (around $1.5 million) was intercepted by the crypto exchange ChangeNO, which detected money laundering attempts.
MyAlgo is working closely with authorities to investigate the matter. In response to this incident, John Wood, the founder of MyAlgo, promised to post a video explaining how users can protect themselves against attacks in the future. Although MyAlgo allows users to control their private keys, they are unfortunately not immunize to cyberattacks.
As a result, it is always risky to keep private keys online. Cyberattacks are becoming increasingly common and can result in crucial losses of cryptocurrencies. The best way to protect your investments is to keep them in a physical wallet such as a Ledger key. This way, you can sleep soundly knowing that your digital assets are safe from any hacking attempts.
As a journalist at Coinpri, I’ve been captivated by the world of bitcoin and blockchain since 2020. The decentralized aspect of Bitcoin particularly piqued my interest. Since then, I’ve been working constantly to spread my knowledge, hoping one day to see a world where everyone fully enjoys their financial freedom.