How hackers used crypto to drain R1,8 billion from French bank

Credit Mutuel Arkea, a French regional bank, suffered a cyberattack resulting in fraudulent transactions worth around 100 million euros (R1,8 billion), according to a Wednesday statement. The security breach allowed hackers to access the bank's account and make transfers to other banks, leaving clients unaffected. The stolen assets were subsequently converted into cryptocurrencies on specialized platforms, though a portion was blocked and further recovery efforts were underway.

The bank affirmed that the transfers were not due to human errors and identified the attack as sophisticated and originating externally. The Paris public prosecutor's office had initiated an official investigation into the incident, which involved an automated data processing system compromised by an organized group. Credit Mutuel Arkea declined to comment on the reported 100 million euros in losses, as stated by Le Telegramme, but acknowledged the severity of the losses.

The bank assured that the financial health and stability of the group remained unaffected. The evaluated amount of funds involved in the attack was not significant enough to jeopardize the institution's overall financial situation. The lender reported a net profit of 230 million euros in the first half of the year. ZachXBT, an independent investigator specializing in tracking cryptocurrency funds, disclosed the fraud on his social media platforms earlier in the week.

According to ZachXBT, the stolen funds had traversed through multiple accounts created on crypto exchange platforms.