Hackers stole up to $42 million worth of crypto from a wallet controlled by prominent blockchain venture capitalist Bo Shen, founder of Fenbushi Capital.
News of the theft was shared by Bo Shen himself on Twitter on Wednesday, with Shen claiming that the theft occurred from his personal crypto wallet on November 10. He stressed that the theft did not involve any company assets.
“A total of 42 million crypto assets, including 38 million in USDC, were stolen from my personal wallet,” Shen wrote. He added that the incident had already been reported to local police and said the FBI had also been involved.
Compromised mnemonic words
Reviewing the incident, blockchain security firm SlowMist shared more details of the theft on Twitter and pointed out that the reason for the theft was that the mnemonic words had been compromised.
The security company said in the Twitter thread that the wallet used was Trust Wallet, a popular mobile wallet that supports a large number of crypto-assets. Trust Wallet is now owned by Binance, having been acquired by the exchange in 2018.
“We are working with to track this theft, and together with the FBI and attorneys already involved, we are calling on the hackers to return the money as soon as possible,” the company wrote, while sharing a detailed look at the transaction flow in the flight :
Trust Wallet token soars
Despite the reported theft, the price of Trust Wallet’s own TWT token remained largely unchanged on Wednesday and Thursday of this week.
The slow action for the token came after a huge bull run two weeks ago, when the TWT rose from $1.9 to a high of $2.7 in just three days, and posting a 92% gain in one week.
TWT is one of the top 50 cryptoassets on CoinMarketCap’s ranking, with a current market capitalization of $910 million.