The C&M software, the service provider that links Brazil’s central bank to local banks and other financial institutions, has been hacked Wednesday, leading 800 million Brazilian Reais ($ 140 million), to stolen funds from six institutions connected to the middle bank.
The hack occurred after a C&M employee allegedly selling his credentials on the actor’s threat to approximately $ 2,700, allowing them to access the software system and steal funds held in reserve accounts, According to At the Brazilian News outlet Sao Paulo.
Onchain detective zachxbt Says Hackers have returned an estimated $ 30 million to $ 40 million of stolen funds in Bitcoin (BTC), Ether (ETH) and USDT (USDT), which they lead through Latin American and Latin American exchanges over-the-counter (OTC) Trade platforms.
The incident features the growing risk of cybersecurity threats faced by centralized software and server systems, where single points of failure can lead to significant financial losses or theft of sensitive data.
Related: Crypto losses hit $ 2.5B in the first half of 2025, but hacks fall into Q2: Certik
Centralized systems sit on ducks in the age of artificial intelligence
Centralized digital systems are naturally vulnerable to hacks, infiltration, ransom attempt and software exploitation. These weaknesses are aggravated by artificial intelligence and AI tools.
Crypto (CEX) centralized exchanges (CEX) recorded a Uptick to hacks In Q3 and Q4 2024, while hackers turned on digital platforms with a single failure score, according to Chainalysis.
Eran Barak, CEO of Shielded Technologies, the developer behind the midnight data protection blockchain, told Cointelegraph that Privacy tools are especially necessary to cut off Ai-Assist hackers.
The CEO said the cybercriminals see “massive” return to targeting centralized systems that may contain millions of passwords, sensitive documents or Billion -billions of dollars in capitalthat makes these systems attractive.
Decentralized blockchain technologies such as zero-knowledge proof (ZKP) have removed this temptation by forcing hackers to target individual purses or accounts instead of a centralized database containing millions of records, Barak said.
“Their return to investment (ROI) will be a note rather than millions – not worth it. They will go somewhere else,” the CEO said.
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