Here is a breakdown of a $31M hack. Worth reading for anyone interested in ethereum smart contracts development. Or probably in hacking them :))
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So would my Ether had been safe holding it in a hardware wallet in this case? Doc
@Doc, Hi Doc, your Eth would have been safe on an offline drive, because they would have been offline and therefore disconnected from the internet. The Eth were stolen from the multi signature wallets at Parity. If I’m understanding this correctly, only Eth coins that were in Parity, multi-sig wallets were vulnerable to this hack.
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While you are right, technically speaking if you store your crypto offline in a multi-sig wallet and the other sig was compromised, the fact that it was offline wouldn’t help.
In this case, it had nothing to do with the way the crypto is stored. Parity wallets can be disconnected from the internet too. But in this case, the code itself, specifically the multi-signature code for the parity wallet was flawed which led to the hack.
In this particular case the hacker only needed to know your Parity multi signature wallet address to steal your money