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ARTICLE · 04 MAY 2022

Cyber Beware: E-Gaming And Cyber-Criminality

Manatt, Phelps & Phillips, LLP
Manatt, Phelps & Phillips, LLP
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Manatt, Phelps & Phillips, LLP

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Recent events illustrate that the e-gaming industry—developers, publishers, esports leagues and teams, and the financial machinations behind them—are significant targets for cyberattacks, theft and cyber-criminality.

United StatesTechnology

Recent events illustrate that the e-gaming industry—developers, publishers, esports leagues and teams, and the financial machinations behind them—are significant targets for cyberattacks, theft and cyber-criminality. Recently, U.S. law enforcement linked the Lazarus Group, which is reported to be connected to the North Korean government, to the $540 million hack of Axie Infinity (an online game). As reported by The Wall Street Journal, the U.S. Treasury Department's Office of Foreign Assets Control reported that the "Lazarus Group is the owner of the cryptocurrency address used in the hack."

Another major video game developer and publisher experienced a cyberattack reportedly resulting in the exfiltration of more than three-fourths of a terabyte of data. The exfiltrated data reportedly includes source code, software development kits and game engines. News reports indicate that the threat actors accessed the system through Slack channels, stolen authentication

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