Continuous solana assault targets great many crypto wallets, costing clients more than $5 million up to this point
KEY POINTS
- Nearly 8,000 digital wallets have been drained of just over $5.2 million in digital coins including solana’s sol token and USD Coin (USDC), according to blockchain analytics firm Elliptic.
- The Twitter account Solana Status confirmed the attack, noting that as of Wednesday morning, approximately 7,767 wallets have been affected by the exploit. Elliptic’s estimate is slightly higher at 7,936 wallets.
Almost 8,000 computerized wallets have been depleted of simply more than $5.2 million in advanced coins including solana’s sol token and USD Coin (USDC), as per blockchain examination firm Elliptic. The Twitter account Solana Status affirmed the assault, noticing that starting around Wednesday morning, roughly 7,767 wallets have been impacted by the adventure. Elliptic’s gauge is marginally higher at 7,936 wallets.
Solana’s sol token, one of the biggest cryptographic forms of money after bitcoin and ether, fell around 8% in the initial two hours after the hack was at first distinguished, as per information from CoinMarketCap. It’s right now down around 1%, while exchanging volume is up around 105% as of now.
Beginning Tuesday night, different clients started detailing that resources held in “hot” wallets — that is, web associated addresses, including Phantom, Slope and Trust Wallet — had been exhausted of assets.
Phantom said on Twitter that it was investigating a “reported saltwater ecosystem vulnerability” and did not believe it was a Phantom-specific issue. Blockchain auditing firm OtterSec tweeted that the hack affected multiple wallets “across platforms.” Elliptic chief scientist Tom Robinson told CNBC that the cause of the breach is not yet clear, but “it appears to be due to a bug in some of the wallet’s software, rather than the solana blockchain itself.” OtterSec added that the transactions were signed by the real owners, which “suggests some kind of private key compromise.
A private key is a secure code that allows the owner to access their cryptographic holdings. The identity of the attacker is still unknown, as is the reason for the exploit. Offense continues. “Engineers from different ecosystems, with help from different security companies, are investigating depleted Solana wallets,” according to Solana Status, a Twitter account that shares updates for the entire Solana network. The Solana network strongly advises users to use hardware wallets as there is no evidence that it has been affected. “Don’t reuse your seed phrase in a hardware wallet – create a new seed phrase.
Wallets that are exhausted should be considered compromised and abandoned,” read one tweet. Seed words are a collection of random words generated by a cryptocurrency wallet when it is first set up and provides access to the wallet. The private key is unique and links the user to their blocking address. A phrase is a fingerprint of all of a user’s blockchain assets, which is used as a backup in case the cryptocurrency wallet is lost. The incident occurred a day after the $200 million Nomad blockchain bridge hack. This is the latest crisis to hit the crypto market in recent weeks.
“There are now four addresses associated with the hacker, a far cry from yesterday’s ‘decentralized theft’ involving 120 individual users,” said crypto investor and analyst Miles Deutscher. “This means that it is a party that uses SOL, although the details remain unclear.
The Solana network
The Solana network is considered one of the top newcomers to the crypto market, with supporters such as Chamath Palihapitiya and Andreessen Horowitz saying it is challenging ethereum with faster transaction processing and improved security. However, it has recently faced a number of problems, including downtime during periods of activity and the perception that it is more centralized than Ethereum. A major outage in June put the Solana platform out of service for several hours. Ether, the native token of the ethereum blockchain, rose 6% in 24 hours. Why Federal Charges in Alleged Ponzi Scheme May Be Just the Tip of the Iceberg COMPANIONS Coinbase cryptocurrency exchange app that pops up on your iPhone screen. Coinbase shares rise on support of meme traders, BlackRock crypto business Alex Mashinsky, CEO of Celsius on stage in Lisbon at Web Summit 2021 Homeless, suicide, up to $1,000: Celsia investors ask bankruptcy judge for help Solana cryptocurrency platform logo. The ongoing solana attack has targeted thousands of cryptocurrency wallets and cost users more than $5 million so far It’s been a miserable August for cryptocurrencies – and it’s only the third day of the month
