Investigations confirmed that hacker(s) continuously draining funds from the breached wallet, following a security breach in late Feb 2022.
My Algo is an Algorand web Crypto wallet with a non-custodial and secure mechanism. The team behind this wallet claims users can interact directly with the Algorand blockchain while handling their private keys by either storing them securely and encrypted in their local browser or by using a Ledger hardware wallet. But the recent few weeks showed that this wallet is no safer.
On 27 Feb 2023, the My Algo team confirmed that its wallet faced an attack and suggested all the wallet users withdraw funds, to remain away from any kind of risk.
On 7 March 2023, Zachxbt, a crypto detective, reported that hackers are still draining funds from the myAlgo wallet, so indirectly confirmed that the team failed to solve the issue & affected users failed to create a new wallet.
On 6 March 2023, Decentralised exchange Algodex shared internal information about this issue and noted that the company’ MyAlgo wallet was also part of the recent security breach and funds were drained in the early morning on 5 March.
Crypto analytic platform Peckshield investigation also revealed that one of the corporate wallets of Algodex was a victim in the recent hack attack.
Reports noted that so far $9.2 million worth of funds have been stolen by the hackers in this incident. These things are suggesting crypto Investors go with only top trusted & big devs team-backed crypto wallets.