Alarm bells went off after users of crypto trading bot provider 3Commas reported unauthorized access, resulting in trade disruptions shortly after their account passwords had been reset. This prompted co-founder and CEO Yuriy Sorokin to address the incident in a bid to assuage user’s concerns. In an official blog post published recently, the top exec confirmed the breach and assured users that the platform’s services were functioning normally.
Upon detailed investigation, it was found that only a limited number of customer accounts were compromised, although 3Commas did not disclose the exact number of affected users. He emphasized the company’s commitment to maintaining a state of heightened alertness during this period. Looking into the hacked accounts, 3Commas revealed that most of the accounts with unauthorized trades had not enabled two-factor authentication [2FA].
In response to the few customer reports, we took immediate measures to address the situation. We shifted the approach to password resets and deployed an additional functionality so that, now, after passwords are reset, all API connections are disabled to provide an extra layer of security.
However, the accessed data did not include user API data or passwords. To ramp up security measures, the company has implemented a new method for password resets and disabled API connections after users reset their passwords. Additionally, 3Commas strongly recommends users enable 2FA and regularly change their passwords to enhance their account security.
3Commas API Keys Hack
This incident is reminiscent of the last December daring security breach where an anonymous Twitter user gained access to approximately 100,000 API keys belonging to 3Commas users and published them online. Initially attributing the breach to a phishing attack, 3Commas later admitted that the source was an API leak. Traders reported losses exceeding $20 million as the compromised API keys were misused to execute trades on exchanges like Binance, KuCoin, and Coinbase without their consent.
In response to these incidents, 3Commas has intensified its efforts to fortify its security protocols, ensuring the safety and confidence of its user base. As the investigation into the unauthorized trades continues, users are urged to heed the company’s recommendations and take proactive steps to protect their accounts in the evolving landscape of crypto security threats.