A Wallet Address Exploits Multichain Bridge Opening to Make Millions in Profits
A wallet address took advantage of a momentary opening of the long-frozen Multichain Bridge to make nearly 1.9 million Fantom (FTM) tokens worth $280,000, which quickly grew to $1.9 million. This incident has led to speculation within the crypto community about an insider job.
The Exploit and Profits
The Multichain Bridge, which had been frozen since July 2023 due to a previous exploit, briefly opened and closed again on November 1. During this brief opening, the wallet address seized the opportunity to make millions of dollars in profits.
The wallet address started by withdrawing 1.9 million FTM tokens from Binance and swapping them for Bitcoin (BTC) on the Fantom Network. Then, it used the BTC for a cross-chain transfer through the Multichain Bridge to Ethereum, receiving 28.4 wBTC ($977,000), 357 Ether (ETH) ($642,000), and 298,000 Tether (USDT).
Focus on the “Multichain Executor”
While attention was initially drawn to the wallet address involved in the exploit, many in the crypto community are now focused on the “Multichain executor.” They question whether this was an insider job because the wallet address was the sole beneficiary of the bridge opening.
Some users on X (formerly Twitter) suggested that Multichain reopened specifically for these transactions, benefiting its owner. This theory is supported by the fact that Multichain had been closed for over 120 days before this incident.
“Upon inspecting Multichain, we observed that it still has some chains that are operational, such as KCC, Moonriver, and Moonbeam. It is likely that the team behind Multichain is attempting to restart their operations.”
No official statements have been released by Fantom Network or Multichain regarding this incident at the time of publication.
Hot Take: Insider Job Suspected in Multichain Bridge Exploit
The recent exploit of the Multichain Bridge opening has sparked suspicions of an insider job within the crypto community. A wallet address managed to make millions of dollars in profits by taking advantage of the momentary opening of the bridge, which had been frozen since July 2023.
While attention initially focused on the wallet address involved in the exploit, many users on X questioned the timing and nature of the transactions. They believe that Multichain reopened solely for these specific transactions, benefiting the owner of the wallet address.
As of now, there have been no official statements from Fantom Network or Multichain regarding this incident. The crypto community continues to speculate about the possibility of an insider job.
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