Bad actors have reportedly compromised the servers of a Bitcoin (BTC) ATM manufacturer, enabling them to redirect crypto assets to their wallets.

Reportedly, crypto ATMs owned by General Bytes have been exploited by hackers who remotely created an admin user account for the company’s Crypto Application Server (CAS).

The flexible interface then scanned the internet for specific servers that were exposed, including those hosted by the firm’s cloud service.

Vulnerability In ATM Identify Potential Dangers

The hackers were able to automatically forward Bitcoin to their wallets every time a customer sent coins to the ATMs, resulting in an undisclosed amount of crypto being stolen.

The attacker accessed the CAS interface and renamed the default admin user to ‘GB.’

The attacker modified the crypto settings of two-way machines with his wallet settings and the ‘invalid payment address’ setting.

Two-way ATMs started to forward coins to the hacker’s wallet when customers sent coins to ATM.

According to the advisory, General Bytes is releasing updates to correct the problem but is warning customers not to use the ATMs until the vulnerabilities are fixed.

Vulnerability of blockchain technologies to quantum attacks

Blockchain systems are unlike other cryptosystems in that they are not just meant to protect an information asset. A blockchain is a ledger, and as such, it isn’t an asset.

A blockchain is secured through the use of cryptographic techniques.

Notably, asymmetric encryption schemes such as RSA or Elliptic Curve (EC) cryptography are used to generate private/public key pairs that protect data assets.

Importantly, Given the strong coupling between data and cryptosystems in blockchains, the potential vulnerability of these cryptosystems to quantum attacks.

However, the likely introduction of capable quantum computers in the mid-term future—not to mention the usual high monetary value of the assets secured by blockchains—is important to more deeply understand their current level of vulnerability.