PEOPLESECURITY

Suspected downloading of malicious wallet, Bitcoin core developer hacked for 200 BTC, CZ kindly offers help but ends up being blamed.

share
Suspected downloading of malicious wallet, Bitcoin core developer hacked for 200 BTC, CZ kindly offers help but ends up being blamed.

Bitcoin Core developer @LukeDashjr tweeted today (2) that his PGP private key was compromised, resulting in a significant amount of BTC being stolen. According to Blockchain.com data, approximately 200 BTC were stolen, which is roughly $3.5 million.

CZ says self-custody carries risks, but gets called out for CEX being riskier

As hacker wallets have been identified, Binance founder Zhao Changpeng stated that self-custody wallets also come with different risks, and Binance exchange will help monitor these problematic addresses to see if they can assist.

It's unfortunate to see OGs in Bitcoin Core lose over 200 BTC (worth $3.5 million). Self-custody poses different risks. We will monitor these addresses to see if there's anything we can do to help.

While well-intentioned, many are not pleased with the statement that "self-custody wallets carry risks."

Twitter user @joevezz called out CZ, saying: "In 2022, self-custody crypto lost $3.5 million, but centralized exchanges lost billions."

CZ pointed out that most self-custody wallets hacked are not reported, and furthermore, SBF does not represent all centralized exchanges, just like Maloof does not represent stock exchanges.