Last two days transaction on Spark Pool, a mining pool in China, has shocked the whole of the Ethereum community. It has been notified that the customer transacted $5.2 million as transaction fees for around 20,000 ETH, but in return, it received only 350 ETH whose worth is less than $90,000 and out of those, one was only 0.55 ETH worth $133.
<h2>Criminal Did Not Have Multi-Signature Verification</h2>
Earlier, the community believed that the sender has mistakenly mixed fields the transfer and the transaction fees. But on June 12, Vitalik Buterin, the co-founder of Ethereum and the blockchain analytics company based in China, PeckShield, <a href="https://twitter.com/VitalikButerin/status/1271463564440678401?ref_src=twsrc%5Etfw%7Ctwcamp%5Etweetembed%7Ctwterm%5E1271463564440678401&amp;ref_url=https%3A%2F%2Fwww.financemagnates.com%2Fcryptocurrency%2Fnews%2Fvitalik-buterin-says-ransom-hackers-behind-5m-fee-eth-transactions%2F" target="_blank" rel="noopener">floated</a> a different idea stating that a hacker has got unauthorized access to the wallets of exchange which has not been disclosed yet, for ransom.

The assumption is being made that criminals might have got permission as the server management of the exchange or something a bit similar to it. But they did not know that the private key of the exchange has multi-signature verification which prevents them from sending crypto to their own wallets.

The multi-signature verification is a private key which protects the exchange from the theft. It is to be noted that whenever an outgoing transaction is processed on the undisclosed exchange it would require multiple private keys for each signed transaction.
<h2>Criminal Plans To Threat Undisclosed Exchange</h2>
The Ethereum community noticed the unusual transaction on mining pool was being carried out by the ransomware gang.

After getting partial access, the criminals thought of demanding the chunks from the exchange, otherwise, they would burn its assets.

Regarding this, Buterine has said, “Similar situations could happen in ‘scorched earth’ games, including scorched-earth vaults aka ‘Moeser-Eyal-Sirer’ vaults, as well as scenarios where hackers can slash but not steal staked funds”.

Although the story is not confirmed yet, it does not make sense also. If by any chance the story gets fit with the first transaction, the second transaction would undermine it.

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Ethereum Co-Founder Believes $5.2 Million ETH Transaction Fees Held By Ransom Hackers

Ethereum Community noticed that the customer transacted $5.2 million as transaction fees for around 20,000 ETH, but received only 350 ETH.

Jyoti is a graduate from GGSIPU and has done her PG Diploma in English Journalism from IIMC. Presently, she is working as a content writer with Agio Support Solution Pvt. Ltd. Her aim is to provide informative content about cryptocurrency and blockchain, to the tech-enthusiasts.

Ethereum Co-Founder Believes $5.2 Million ETH Transaction Fees Held By Ransom Hackers

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