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Here’s How AI-Powered Crypto Bot AIXBT Lost Over $100K to Hackers

Orxbt noted that the AIXBT hack did not directly affect users, core systems, or development.

mask hacker

The artificial intelligence (AI)-driven trading bot AIXBT has suffered a security breach, resulting in the loss of approximately $100,000 worth of Ethereum (ETH).

AIXBT, an AI-powered crypto trading bot designed to automate digital asset trading, confirmed the breach in an official statement. The project reported that an unidentified hacker managed to gain control of its internal dashboard, granting them access to funds over thousands of dollars.

Hacker Gains Unauthorized Access

Orxbt noted that the hacker queued in two malicious replies, eventually stealing 55 ETH. According to Orxbt, the theft does not affect the core systems or development.

A comprehensive technical analysis of the attack has yet to be released. However, the attacker manipulated AIXBT to transfer ETH through social media posts. Additionally, they may have gained unauthorized access to certain operations, potentially by injecting malicious commands or data. This technique, known as command injection, is a cyberattack that allows the execution of arbitrary commands on a host system. 

However, 0rxbt further stated that the team has taken several security measures to prevent further breaches, including pausing the data dashboard, switching servers, and migrating keys. 

The latest breach has raised concern about AI-driven platforms. Users have been urged to immediately review their accounts and revoke any associated permissions granted to AIXBT in their Ethereum wallets, although Orxtb mentioned that the hack will have no effect on users.  

AIXBT is part of the increasing trend of AI-driven experimentation in crypto. Notable bots like ai16z and Truth Terminal have attracted attention for their personalities and trading capabilities.  

Crypto Scammers Targeting Users

Events such as this are not new to the crypto sector. Sometime last year, some users of the Telegram bot Banana Gun were hit by a major wallet compromise, which led to the theft of roughly 563 ETH (approximately $1.4 million).

The incident directly affected less than 50 Telegram users, with the hacker withdrawing funds from these accounts. These compromised accounts belonged to a group of traders who used the bot to automate transactions and take advantage of new token launches. 

Also, Web3 anti-scam firm Scam Sniffer revealed a new, sophisticated attack targeting crypto users via fake Telegram groups. The firm revealed in a series of tweets that scammers are impersonating prominent X crypto influencers and deploying malicious bots for fake verification processes.

Scam Sniffer noted that the attackers first created multiple fake X accounts mimicking crypto influencers. Then, they comment on the posts of legitimate influencers, inviting users to join their exclusive Telegram groups for alpha and investment insights.

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Chris Lion