Binance Unaffected by Multichain Exploit
Changpeng Zhao (CZ), the CEO and founder of Binance, assured users that the recent hack on the cross-chain router protocol Multichain did not affect Binance or its users. The exchange had already completed all asset swaps and closed deposits before the incident occurred.
Key Points:
– Abnormal outflows from Multichain’s bridge contracts to an unknown address raised concerns about a potential exploit.
– On-chain data revealed that $58 million in USDC, $13.6 million in WETH, and $31 million in WBTC were moved from the Fantom bridge’s Ethereum contract.
– Multichain also experienced withdrawals from the Moonriver and Dogechain bridge contracts on Ethereum, leaving only small amounts of assets on each bridge.
– Over $109 million worth of assets were moved from Multichain’s MPC address containing lockup assets.
– Multichain asked users to stop using its services and revoke all contract approvals while investigating the incident.
Binance Ceases Support for Multichain Tokens
Despite offering assistance, Binance has decided to end deposit and withdrawal support for Multichain-bridged tokens. This decision was made following complaints about delayed transactions on the protocol. The exchange initially suspended deposits for these tokens in May due to uncertainties surrounding the Multichain protocol.
Hot Take:
Although Binance remained unaffected by the Multichain hack, the incident highlights the risks associated with decentralized protocols. Users should exercise caution and stay updated on any potential vulnerabilities in the crypto ecosystem.
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