Duelbits, an online casino platform, confirmed Thursday that it suffered a security breach resulting in the loss of approximately $7 million in funds from its hot wallets. The platform is currently offline as the company investigates the incident.
A Duelbits founder identified as Joe announced the hack on X, stating that the firm is "still investigating exactly what happened and how." The founder assured users that "user funds are safe" and that "Duelbits stays offline" until the investigation is complete.
Security monitoring firms Scamsniffer and Peckshield tracked suspicious outflows from Duelbits wallets across the Ethereum, Bitcoin, BNB Chain, and Tron networks overnight. The stolen assets included $2.23 million in ether, $680,000 in bitcoin, $1.62 million in USDT stablecoin, $160,000 in BNB, and smaller amounts of TRX and SHIB tokens. Scamsniffer suspects the attack resulted from a private key compromise.
The stolen funds were quickly converted to ether and DAI stablecoin, according to security tracking data.
Recurring Security Issues
This marks the second major security incident for Duelbits. In February 2024, the platform lost $4.6 million worth of funds when an attacker exploited a security vulnerability to drain tokens from the hot wallet.
Crypto platform breaches remain common across the industry. Security firm TRM Labs reported 207 individual crypto hacks in the first half of 2026, totaling approximately $972 million in stolen funds—more incidents than any other six-month period the firm has recorded. The majority of these attacks exploited smart contract vulnerabilities on decentralized finance platforms.
