Crypto Platforms Payy and Duelbits Hit for Millions in Hours

Two major crypto platforms suffered significant losses on September 24, highlighting ongoing security issues in the industry. Payy Network, a privacy-focused stablecoin payments protocol, lost an estimated $1.83 million after its Ethereum rollup contract was hacked. The attacker exploited an access-control failure on the bridge and rollup interface to drain the entire balance.

The stolen USDC was converted into ETH and split across three addresses before being laundered. Payy has suspended all transactions, notified law enforcement, and brought in outside incident-response firms to investigate the breach.

Just hours later, crypto casino Duelbits went offline after approximately $4.3 million in suspicious outflows were flagged by PeckShield. The attacker routed the funds through deBridge and Relay's Router V3 before consolidating them into ETH.

Duelbits has not disclosed how access was obtained, but it is believed a leaked private key may be to blame. This incident marks the second time Duelbits has been hacked in 18 months, with both incidents resulting from compromised keys or access failures.