Major NFT Theft: Pudgy Penguins and Bored Ape NFTs Stolen
On December 16, Flooring Protocol, a liquidity solution for NFTs, was attacked, resulting in the theft of 36 Pudgy Penguins and 15 Bored Ape NFTs worth $1.54 million. The attack targeted the protocol’s peripheral smart contract, but developers quickly deployed a fix to patch the vulnerability. They assured users that the main smart contract and digital assets in vaults were safe. However, reports later revealed that the stolen NFTs were sold on Blur, earning the hacker between $1.5 million and $1.6 million.
Boring Security Raises Concerns
Boring Security, a security protocol funded by ApeCoin DAO, suggested that users who lost their NFTs may not be able to recover them since the hacker had already dumped them. This incident comes shortly after the breach of P2P NFT platform NFT Trader, where blue-chip NFTs were stolen. The hacker initially demanded a ransom but later returned some of the stolen items.
Flooring Protocol’s Rise and FLC Token Performance
Flooring Protocol gained popularity within the NFT marketplace due to its unique approach of breaking down NFTs into ERC-20s. It became a hub for Azuki Elementals, Pudgy Penguins, and y00ts collections. Despite the attack, the protocol’s native token FLC has seen a 12% price increase in the last 24 hours with a trading volume of $3.34 million. Over the past 30 and 14 days, FLC has experienced upticks of 52% and 8.3% respectively, although it has lost 22.2% of its value in the previous seven days.
Hot Take: NFT Security Remains a Concern
The recent thefts of valuable NFTs highlight the ongoing security risks associated with the NFT space. While protocols like Flooring Protocol are taking steps to address vulnerabilities, hackers continue to find ways to exploit them. Users must remain vigilant and take precautions to protect their digital assets in this evolving landscape.
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