In the aftermath of a staggering $230 million security breach, WazirX and Liminal Custody, the central figures in the debacle, have engaged in a public blame game, leaving users in a state of confusion regarding the safety of their assets.

In a recent X post, WazirX, the prominent Indian cryptocurrency exchange, attributed the breach to a malfunction within Liminal Custody’s digital asset management system. According to WazirX, the exploit exploited a flaw in a multisig wallet that was managed through Liminal’s platform. The exchange described the attack as resulting from a “discrepancy between the data displayed on Liminal’s interface and the actual transaction details.”

Liminal Custody, on the other hand, has countered these claims, asserting that their infrastructure remains intact and that all wallets, including those linked to WazirX, are secure. In a blog post, Liminal stated, “There is no breach in Liminal’s infrastructure, wallets, and assets. Unfortunately, three of the victims’ machines have been found injecting malicious payloads into the transaction, indicating a sophisticated, well-planned, and targeted attack on a specific Gnosis Smart Contract Multi-Sig wallet.”

The confrontation between these two entities has escalated tensions in the cryptocurrency community. WazirX has taken the matter to law enforcement, filing a police report and collaborating with the Indian Computer Emergency Response Team (CERT-In) to address the breach. According to WazirX’s transparency report from June, the stolen funds represent over 45% of its $500 million asset base. Meanwhile, crypto security firm Elliptic has suggested that the attack might be linked to North Korean hackers.

As the investigation unfolds, users and industry stakeholders are left grappling with the implications of the attack and the contentious exchange of blame between WazirX and Liminal Custody.