Next Month’s Hackathon Event in Seoul Draws Attention from Ethereum Developers

HTX and Heco Chain exploited with $115 million lossSeychelles-incorporated cryptocurrency exchange HTX, linked to digital-asset entrepreneur Justin Sun, has fallen victim to a significant hack, only a few months after having suffered another hack in September.Photo by Markus Spiske on UnsplashSecond HTX hack in recent monthsThe last hack, involving a loss of digital assets to the value of $8 million, was resolved when the hacker agreed to return funds in October in return for a goodwill payment of around $400,000.This latest unfortunate incident follows another hack on Poloniex, also associated with Sun, just weeks ago. Sun acknowledged the HTX hack in a tweet, announcing the temporary suspension of deposits and withdrawals without specifying the exact amount pilfered.Separate Heco Chain hackIt is understood that approximately $30 million worth of cryptocurrencies was siphoned from the exchange wallet. The platform is actively investigating the breach, aiming to uncover the specifics surrounding the attack. Simultaneously, the HECO Bridge, which was established by HTX for cost-effective fund transfers across different blockchains, experienced a separate hack.This breach resulted in losses exceeding $85 million, including ETH, US dollar stablecoin Tether (USDT) and various other tokens. Although initially launched by HTX, HECO operates independently from the HTX exchange.Crypto community concernThese security breaches cast a shadow over Sun’s crypto ventures, especially considering the recent hack on Poloniex, which saw losses surpassing $100 million in various cryptocurrencies. A spokesperson for crypto security firm Hacken told Cointelegraph that these hacks could be the work of an insider.“We can see that all these attacks have the same target: Justin Sun’s projects,” the spokesperson stated. These related incidents are the cause of significant speculation within the crypto space, with some concern expressed about the financial health of HTX, given that the firm is currently offering unsustainable interest rates of up to 100% APY on a selection of digital assets.In response to the HTX hack, Justin Sun assured the community in a post on X (formerly Twitter) that HTX would fully compensate for the losses incurred in its hot wallet. The exchange has temporarily halted deposits and withdrawals as the investigation unfolds. Sun emphasized the commitment to resume services once the investigation concludes and the cause of the breach is identified.These incidents raise questions about the security infrastructure of platforms associated with Justin Sun. The crypto community awaits further details on the investigation’s outcomes and preventive measures that will be implemented to fortify these exchanges against future attacks.Such recent security breaches have not just affected Justin Sun-related enterprises. Earlier this month, decentralized exchange (DEX) KyberSwap was exploited to the tune of $46.5 million. Earlier this week, Kronos Research — a Taipei-based crypto trading, market making and venture capital platform — experienced a $25.6 million loss. The past twenty days have seen five major hacks resulting in an aggregate loss of a staggering $290 million.As the crypto industry grapples with increasing security challenges, the importance of robust protective measures cannot be overstated. These developments underscore the need for a cautious and diligent approach in safeguarding digital assets within the rapidly evolving cryptocurrency landscape.

Milk Partners Launches Blockchain-Powered Reward Points System in IndonesiaSouth Korean tech company Milk Partners, which operates blockchain-powered reward points platform MiL.k, has announced the official launch of its services in Indonesia, according to a report by local news outlet Etoday. MiL.k simplifies the process of handling and exchanging reward points from multiple companies by offering an integrated platform for users.Photo by Dino Januarsa on UnsplashLocal readinessIn order to provide stable local service, MiL.k has registered as an electronic system organizer (ESO) in Indonesia. Moreover, the platform has implemented a passport and identification card verification system to meet know-your-customer (KYC) requirements.As of today, Indonesian users can download the MiL.k app from the App Store and Google Play. Within this month, they will be able to utilize their reward points from two local companies: GetPlus, a loyalty point integration service, and Indonesia AirAsia, a budget airline.Southeast AsiaTo expand its reach and promote the platform further, Milk Partners has plans to collaborate with local partners on a range of promotional events. Additionally, the company aims to boost its marketing efforts in Southeast Asia, encouraging more businesses and projects to join the MiL.k platform.Cho Jung-min, CEO of Milk Partners, shared his excitement about the official launch of MiL.k in Indonesia, which is a significant step in the company’s global expansion plan. He stressed the commitment to providing reasonable and tangible services and asked for customers’ interest and support in this endeavor.Recent token listingIn line with this development is last month’s listing of the trading pair of MLK/IDR on Indodax, an Indonesian cryptocurrency exchange. MLK stands for Milk Coin, a key currency that can be exchanged for reward points on the MiL.k platform.

Accused of one of the world's largest cryptocurrency scams, Andreas Szakacs, a Swedish national who became a Turkish citizen under the name Emre Avcı, was detained in Istanbul. The alleged international fraud scheme, led by Szakacs, began in 2019 under the guise of OmegaPro, a company dealing in forex and cryptocurrency trading. OmegaPro claimed to generate significant profits for its investors through complex financial algorithms and high-risk leveraged trading. The company, registered in opaque jurisdictions like Saint Vincent and the Grenadines and headquartered in Dubai, promised returns as high as 300% within 16 months, attracting investors from across the globe. High-profile endorsements and lavish eventsTo bolster credibility, Szakacs and his partners, including well-known figures in the finance and crypto sectors like Dilawar Singh and Mike Sims, organized extravagant events. These included the OmegaPro Legends Cup, a football tournament featuring former stars like Ronaldinho, Kaka and Iker Casillas, who were branded as OmegaPro ambassadors. The company also sponsored car races and held opulent conferences in luxury hotels, where gifts and prizes were distributed to participants, further enticing new investors. OmegaPro's operations spanned multiple continents, with representatives in countries such as Colombia, Mexico, the UK and Nigeria. Over time, the company claimed to have attracted 1.5 million investors. However, in late 2022, as withdrawals were suddenly halted, suspicions grew. By July 2023, the company had shut down, leaving an estimated three million investors defrauded and $4 billion unaccounted for.Photo by Xiaoyi Huang on UnsplashAs OmegaPro collapsed, investors from around the world began filing complaints. In France alone, over 1,500 victims have initiated a class-action lawsuit. Similar legal actions have been reported in countries including Mexico, Congo and Myanmar. Despite multiple investigations, the whereabouts of Szakacs and his partners remained unknown—until recently. A tip-off leads to arrest in IstanbulThe breakthrough came on June 28, when an anonymous informant tipped off Turkish authorities about Szakacs' presence in a luxury villa in Istanbul's Acarkent neighborhood. Following an investigation, the Istanbul Gendarmerie identified 18 complainants connected to OmegaPro. On July 9, Szakacs was arrested in a raid on the villa, where authorities found 32 cold wallets containing cryptocurrencies, along with extensive documentation related to OmegaPro’s operations. During questioning, Szakacs denied all allegations, claiming that OmegaPro was a legitimate business that went bankrupt in late 2022, resulting in significant losses for him and his partners. He also refused to provide access to the cold wallets and the encrypted data on his devices. Despite his defense, Szakacs was charged with fraud using information systems and detained by the Beykoz Criminal Court of Peace on July 10. Ongoing legal battles and future implicationsAs the investigation continues, authorities are scrutinizing Szakacs' digital transactions, which reportedly involve $160 million in movements over a single month. His legal team argues that investors knowingly took on risks in the forex market, but the sheer scale of the losses—especially the $103 million claimed by a Dutch complainant representing 3,000 victims—has intensified the case. The outcome of this case could set a precedent for how international crypto-related fraud is handled, particularly in an era where digital currencies and high-risk investments are increasingly intertwined.