Hacker Steals Expensive NFTs
The peer-to-peer trading platform NFT Trader recently experienced a cyber heist, resulting in the theft of high-value Non-Fungible Tokens (NFTs) worth millions of dollars. The stolen assets included rare tokens from collections like Bored Ape, Mutant Ape Yacht Club, World of Women NFTs, VeeFriends, and Art Blocks. NFT Trader confirmed the attack and revealed that the hackers exploited “old smart contracts.” The company advised users to revoke any permissions previously granted to these smart contracts. After updating its contracts to fix a vulnerability, the attacks ceased.
NFT Trader stated that there was a malicious code execution from a third party to its older smart contracts. The company has implemented measures to prevent similar incidents in the future.
Attacker Leaves Public Message on Blockchain
The main attacker left a public message on the blockchain, blaming another user for the NFT exploit and claiming the attack was to “pick up leftover trash.” The hacker even proposed returning the tokens for a ransom. Some perplexing actions followed, including returning one Bored Ape with additional ETH to a user and returning certain staked Bored Apes to their owners while keeping the ApeCoin rewards.
The hacker expressed their intention to return the NFTs if they received a bounty payment.
NFTs Trading Volume Soars
Despite the security breach, the NFT market experienced a surge in activity. Sales increased by 52.81% over the past week, totaling $503.35 million. NFTs on the Bitcoin network surpassed Ethereum’s sales, generating $276.79 million compared to Ethereum’s $99.67 million.
The growing interest and investment in NFTs can be attributed to the general sentiment of a bull market in the crypto sphere, where capital tends to flow towards NFTs.
Hot Take: Implications for the NFT Market
This cyber heist serves as a stark reminder of the vulnerabilities present in the NFT market. While the market continues to see increased trading volume, it is crucial for platforms and users to prioritize security measures. The incident highlights the importance of regularly updating smart contracts and revoking unnecessary permissions. As the value of NFTs rises, it becomes an attractive target for hackers. Both platforms and collectors must remain vigilant to protect their digital assets.
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