Software Bug Causes Wrong Transfer of 150 Million ONE Tokens
A software bug in the smart contract code for the Harmony cross-chain bridge resulted in the wrongful transfer of nearly 150 million ONE tokens, equivalent to $2.2 million, to 79 user addresses. One of the recipients, Aaron Li, alerted the Harmony team and sold a portion of the tokens. However, there was a dispute regarding the timing of Li’s disclosure.
How ONE Token Bug Adds to Harmony Hacks
To mitigate the impact on the token’s supply, the Harmony team plans to burn the wrongly minted tokens. This incident highlights the vulnerability of bridges used by crypto users to move tokens between blockchains. Previous hacks on Harmony and Sky Mavis’ Ronin bridge demonstrate the risks associated with these systems.
In the case of Ronin, hackers exploited an employee by using fake job offers, compromising their computer and gaining access to validate transactions. Funds from the recent hack were traced to several exchanges.
Analysis Reveals Bullish Prospects for ONE Price
The price of ONE token currently stands at $0.01602929, experiencing a 0.7% increase in the last 24 hours. Despite facing resistance since August 2022, there is potential for a breakout from this descending trend line, which could lead to a price increase of up to 70%. However, if the price falls below $0.016, it may decline by 40% to its closest support level at $0.010.
Hot Take: Harmony Faces Challenges Due to Token Bug
The software bug that led to the wrongful transfer of millions of ONE tokens poses significant challenges for Harmony. While steps are being taken to address the issue and burn the affected tokens, it highlights the ongoing vulnerabilities in blockchain bridges. This incident serves as a reminder for crypto users to exercise caution and conduct thorough due diligence when utilizing these systems. Additionally, the potential impact on the ONE token’s price adds further complexity to the situation, with bullish prospects contingent on a breakout from the descending trend line.
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