Alphapo, a payment processor for various gambling services, reported a breach of their hot wallets today, July 23, 2023. The breach resulted in a loss of over $23 million in Ethereum (ETH), TRON (TRX), and Bitcoin (BTC) cryptocurrencies. The exact amount of BTC stolen remains unclear.
Alphapo is known for processing payments for several gambling services, including HypeDrop, Bovada, and Ignition. Following the incident, HypeDrop, one of Alphapo’s customers, had to disable withdrawals.
The stolen funds on Ethereum were swapped for ETH and then bridged to Avalanche and Bitcoin. The addresses involved in the breach include:
In response to a query about the deposit and withdrawal issues, HypeDrop stated, “Our provider is currently working to solve some recent issues from their side, they are facing problems specifically related to withdrawals of BTC, ETH, and TRX, as well as deposits for ETH and TRX. We are actively monitoring the situation with them and will provide you with an update when more information is available. Be assured that if your payment has been affected, your funds are secure 🙂”.
The incident has sparked questions regarding Alphapo’s security protocols and the subsequent effects on its clientele. Observers are keenly following the situation, with further developments anticipated as the inquiry unfolds.
In a related development, a user has raised concerns about HypeDrop’s operations. The user alleges that HypeDrop, managed by an individual named Killian, operates several unregulated online casinos. The user claims that large winners are immediately subjected to a Know Your Customer (KYC) process, which allegedly has been leaked in the past, particularly with their influencers. The user also alleges that the KYC process is never approved. Furthermore, the user criticizes HypeDrop’s policy on their CSGO gambling sites, which allows crypto deposits but not withdrawals, a privilege only granted to influencers and skin suppliers.
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