Hackers steal over $320mn in major crypto heist

Hackers steal over $320mn in major crypto heist

 

 

One of the most popular bridges linking the Ethereum and Solana blockchains became a victim of a hack attack on Wednesday resulting in a crypto theft worth more than $320 million.

 

Developers representing Wormhole confirmed the exploit on its Twitter account, saying the network bridge is currently down while the team investigates a potential exploit.

 

The official website says that the portal is temporarily unavailable.

 

Wormhole is a protocol that lets users move their tokens and NFTs between Solana and Ethereum.

 

Crypto holders often do not operate exclusively within one blockchain ecosystem; so developers have built cross-chain bridges to let users send their digital assets from one chain to another.

 

It is DeFi’s second-biggest exploit ever, and the largest attack to date on Solana; which is increasingly gaining traction in the non-fungible token (NFT) and decentralized finance (DeFi) ecosystems.

 

“The $320 million hack on Wormhole Bridge highlights the growing trend of attacks against blockchains protocols,” blockchain cybersecurity firm CertiK co-founder Ronghui Gu was quoted as saying by CNBC. “This attack is sounding the alarms of growing concern around security on the blockchain.”

ALSO READ: Hackers return $260 million in assets stolen in biggest crypto heist ever

 

Meanwhile, the founder of Solana DeFi platform Step Finance, George Harrap, told CoinDesk he expects Jump Capital; which purchased Wormhole developer Certus One, to step in to backstop the hacked ETH.

 

Otherwise, he said, a number of Solana-based platforms that accept ETH as collateral may now be partially insolvent.

 

“If nobody backs it and the coins are truly gone then Wormhole ETH is worth 0 and everyone who has a balance of it becomes worthless, DeFi protocols, users, everyone,” Harrap said.

 

Cryptocurrency platforms have suffered a number of high-value hacks in recent years.

 

In August, Poly Network was hit by a major attack that saw; the hacker steal more than $600 million worth of tokens.

 

The theft was thought to be the biggest crypto heist ever; surpassing the $534.8 million stolen from Japanese digital currency exchange Coincheck in 2018 and the estimated $450 million worth of Bitcoin that went missing from Tokyo-based Mt. Gox in 2014.

 

Poly Network’s hacker, however, gave back nearly all of the money; with the exception of $33 million of Tether that was frozen by its issuers.

About The Author

Osigweh Lilian Oluchi is a graduate of the University of Lagos where she obtained a B.A (Hons) in English, Masters in Public and International affairs (MPIA). Currently works with 1stnews as a Database Manager / Writer. [email protected]

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