Liechtenstein-based cryptocurrency exchange LCX has confirmed that one of its hot wallets has been compromised after temporarily suspending all deposits and withdrawals on the platform.

The hack was first reported by blockchain security firm PeckShield according to suspicious transfer ERC-20 tokens from LXC to unknown Ethereum (Ethereum) wallet.

Hot wallet stolen? @lcx https://t.co/uL5a7oCFfM

— PeckShield Inc. (@peckshield) January 9, 2022

The exchange quickly confirmed a possible hot wallet compromise as it announced the loss of numerous tokens including ETH, USD Coin (USD/USD) and other tokens, including its internal LCX token.

Ethereum blockchain-based assets such as ETH, USDC, EURe, LCX have moved to

Hacking ETH wallet: 0x165402279F2C081C54B00f0E08812F3fd4560A05

2/3

— LCX (@lcx) January 9, 2022

According to a PeckShield investigation, after hackers successfully transferred Sandbox (SAND), Quant (QNT), Chainlink (association), Enjin Coin (ENJ) and Maker (MKR).

At the time of writing, LCX has not shared any plans to help return the stolen funds. However, the company has confirmed that it has security measures in place to protect other wallets and assets:

“We are extremely grateful for the support of our customers, other exchanges, security experts and the wider crypto community during this difficult time.”

LCX has not responded to Cointelegraph’s request for comment.

related: ImmuneFi reports $10B in DeFi hacks and losses in 2021

A recent report by security platform ImmuneFi found that crypto companies will lose more than $10.2 billion in 2021 due to hacking, scams and other malicious activity.

As Cointelegraph reported, ImmuneFi identified 120 instances of crypto exploits and rug pulls, with the most valuable hack being Poly Network US$613 million, followed by Venus and Bit market $200 million and $150 million, respectively.