Incident Overview
Coinrail, a South Korean cryptocurrency exchange, was hacked resulting in a loss of up to $40 million in various ERC-20-based tokens.
Coinrail experienced a "cyber intrusion" which led to the theft of a variety of ERC-20-based tokens from the platform. The exchange has suspended operations following the incident. The exact amount lost is not specified but reports suggest it could be up to $40 million.
Incident Report
Protocol Information
Market Context at Time of Hack
What the Attacker Needed to Succeed
Understanding the prerequisites for this type of attack helps auditors identify protocols that are most at risk and helps developers build better defenses.
What Auditors Should Check
If you're auditing a protocol with similar architecture to Coinrail, these are the critical security checks that could have prevented this incident (June 2018).
- Verify all logic paths related to Access Control are guarded by proper access controls and input validation - see the Access Control Attacks attack class for patterns
- Review privileged functions (owner, admin, governance) for potential abuse vectors - centralization risks should be documented and bounded with timelocks or multi-sigs
Master these auditing techniques with hands-on labs and real exploit scenarios in the Smart Contract Hacking course.
Free TrialRelated Attack Classes
The technique used in this hack maps to these vulnerability classes in our security curriculum:
Sources & References
Learn to Prevent the Next Coinrail
The Coinrail hack is one of many attacks that skilled auditors are trained to detect before deployment. Master real exploit patterns and defense techniques with hands-on Web3 security training.