There were already risk warnings...XRP Healthcare 'suspends' service after theft incident

▲ XRP Healthcare, cryptocurrency security, cryptocurrency wallet, hacking/AI-generated image

XRP Healthcare, based on XRP, has suspended its app service after a large-scale wallet theft incident.

According to U.Today on September 10 (local time), XRP Healthcare blocked access to the XRPH Wallet app to investigate a security incident. The company stated that it suspended the service itself to prevent further damage, not because an attacker removed the app. Wallet addresses, balances, and transaction records can still be checked on the XRP Ledger itself.

In this incident, approximately $452,000 worth of assets were stolen from 4,011 wallets. The stolen assets included 267,664 XRP, 23.2 million XRPH, and 2.43 million XRPHAI. XRP Healthcare's preliminary investigation did not identify any flaws in the XRP Ledger itself. Further investigation is underway to determine how the wallet keys were leaked.

During the analysis, serious issues surrounding the wallet design were also raised. According to xrpl.to, XRPH payments are signed on a mobile phone, but seed information was stored unencrypted. When using the staking function, the seed was transmitted to the XRP Healthcare server. Among the 1,225 wallets that participated in staking, 1,198 were affected. However, it was also suggested that 7 out of 10 victims did not use staking, indicating a potentially wider exposure.

Former Ripple developers claimed that there were warning signs about the project even before the incident. Developer BiasGoose said he had previously rejected the project's grant application, stating, "This is not new news to me." He claimed that the project falsely represented its partnerships for funding and promotion. Former Ripple security expert Hazard Cookie and Matt Hamilton also stated that risks related to the wallet structure had been pointed out for several years. Hamilton said, "It was nothing but red flags since the XRPayNet days."

XRP Healthcare acknowledged the hacking and stated that it is tracking the movement of the stolen funds. It explained that it is working with relevant institutions to freeze and recover assets. The company refuted the criticisms from former Ripple developers. U.Today reported that a debate is ongoing between the two sides regarding whether the cause of the incident was a development error or the realization of risks pointed out in the past.

[Article Summary]

-Approximately $452,000 worth of assets were stolen from 4,011 wallets in the XRP Healthcare wallet incident.

-The stolen assets included 267,664 XRP, and the XRPH Wallet app has been suspended during the investigation.

-Former Ripple developers claimed they had pointed out warning signs regarding the project's wallet structure and operations for several years.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*