1 week Ago By Sharveya Parasnis
Explainer Briefly Slides The Delhi Police has arrested a West Bengal man in connection with the cyber theft of Rs. 2000 crore from cryptocurrency exchange WazirX, reported India Today on November 14. The accused, SK Masud Alam, was arrested from West Bengal’s East Midnapore district by the Delhi Police’s Special Cell.
The chargesheet filed by the police alleges that Alam opened a WazirX account under the fake name of Souvik Mondal and sold it via Telegram to another individual, M Hasan, who then allegedly used it to breach the crypto exchange. The chargesheet also alleged that Liminal Custody, a software provider used by WazirX to for secure storage of digital currencies, resisted cooperation with the authorities. The police plan to address Liminal’s role in a supplementary chargesheet as the investigation progresses.
However, Liminal appeared to reject these accusations, stating that it cooperated with the authorities and even met directly with officials from the Delhi Police’s Intelligence Fusion and Strategic Operations (IFSO) division. The investigation also found no evidence of unauthorised access to WazirX’s systems, either locally or remotely. Background to WazirX hack The Delhi Police’s statement appears to strengthen WazirX’s position in a long running blame-game between the exchange and Liminal.
WazirX suffered a cyberattack in July this year, allegedly by North Korean hackers who stole over $230 million. The crypto exchange initially alleged that the breached wallet used Liminal’s custody infrastructure for security, while Liminal itself contradicted this claim. The company stated on X , “We can confirm that Liminal’s platform is not breached and Liminal’s infrastructure, wallets and assets continue to remain safe.
It is also pertinent to note that all WazirX wallets created on the Liminal platform continue to remain secure and protected.” Just last month, the secure custody provider accused WazirX of carrying out a “persistent disinformation campaign” and stated that the exchange had continued to hold $50 million of user funds in Liminal even after the hack. Also Read:.
