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The end of Midas Trend: the company's creator says he was hacked but an expert contradicts

Cryptocurrency

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All Midas Trend bitcoins were stolen in a hacker attack, according to company creator Deivanir Santos, live on Tuesday night (14). However, the account of how the action occurred does not make any sense, according to an industry expert.

“They stole our bitcoins. Not only those of the company but also mine personally, ”said Deivanir.

As he reported, on the last 12th they transferred the bitcoins of a Trezor (physical bitcoin wallet) to the exchange, which, according to him, was already compromised security.

According to Deivanir, the day before they suspected that someone had invaded and hijacked the DNS (acronym for domain name system) of the platform to steal information. Even so, the next day the transfer was made.

“We took Trezor's bitcoins and put them on our exchange. Since these hackers already had access to our DNS, what happened? They stole our bitcoins, ”he explained.

Has Midas Trend been hacked or not?

THE Bitcoin Portal consulted security researcher and auditor for cryptography projects Everton Melo. According to him, Deivanir's claim does not make sense.

"There is no direct connection between Trezor, his platform and the network with compromised DNS," he said. “There is no way for you to connect these media. Sending Trezor's balance to an exchange does not depend on the website's DNS, but only on the bitcoin network ”.

“By default, people allocate this to a domain on GoDaddy, for example, and leave the site there. The exchange does not have physical access to the wallet. Someone would have to have physical access to Trezor to a computer to make the transfer later, the networks do not communicate, the manufacturer requires OTG connection, it has no connection with DNS ”, he explained.

Another point, according to Melo, is to report on DNS abuse. As he explained, “in the case of leased domains, not only by one company, a DNS can be used by several companies, to the point that there would be several other frauds, not only with the exchange”.

According to the expert, if there was any type of wrongdoing, “at the very least the affected company would have had to report it to the authorities, so there was an investigation to independently mitigate damage, so that the damage would have been less, and abuse of third party assets would have been mitigated ”.

Virtually goodbye

According to Deivanir, a team has already identified the IP of the perpetrator of the invasion and the investigation is being intense.

“I believe that during the week I will come with more news. That is the reality today ”, he said after swallowing – it is not known whether for truth or a lie.

Deivanir also said that he is almost sure where the invasion came from and that the system will not 'rise' until the problem is resolved.

In other words, the situation went from bad to worse for Midas Trend customers; practically goodbye.

The end came from Canada

As Deivanir himself said on video, he moved to Canada exclusively to try to settle the company outside the country and then pay customers in Brazil. He asked for 90 days.

Last Monday the deadline ended and Deivanir did not appear. The reason, according to rumors on social networks, is that in Canada it was still Easter, the traditional ‘Easter Monday’ in the country.

The live was then on Tuesday, where the end of the Midas Trend was practically decreed. At least that is what the history of several financial pyramids that had the same outcome shows, in an orchestrated plan with beginning, middle, and end.

The medium: blamed Urpay, government and banks

At the time of his last video, Deivanir said that payments would remain on hold, but that everything would be resolved.

However, he was probably already following the script of the fraudulent schemes that collapsed to the letter.

At the time, too, he stated that only two things could stop the company, God and him. However, since October 2019 the company had been retaining customer withdrawals.

At the time, Deivanir had blamed Urpay for the delays. But he used other tactics as well. He said, for example, that it was the fault of the banks and the government, which, respectively, boycotted the company and did not regulate the sector.

Midas Trend: the beginning

The company appeared on the market selling licenses for the use of a supposed arbitration robot called 'Botmidas'.

The system, Midas said, would be responsible for cryptocurrency operations that generated the income.

Later on, the company ended up being the target of the CVM for an irregular offer, started to delay payments and that was the beginning of the end.


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