Animoca Brands subsidiary Lympo and Sport NFT minting platform lost nearly $18.7 million from a hot wallet security breach across several project wallets.
According to the Lympo team, hackers managed to gain access to Lympo’s operational hot wallet on Jan 10 and managed to steal approximately 165.2 million LMT from it.”
The team further revealed, ten different project wallets were compromised by the hackers and most of the stolen tokens were sent to a single address swapped for Ether (ETH) on Uniswap and Sushiswap, then sent elsewhere. As a result of this, the LMT price plummeted by 92% to$0.0093.
In a tweet, on Jan 11 the platform said “working on stabilizing the situation and resuming all operations back to normal.” They had also removed liquidity LMT from liquidity pools to “minimize disruption to token prices.”
Removal of liquidity pools that trade LMT means traders will not be able to buy or sell any significant amount of tokens without experiencing a dramatic loss of value on their trade.
Traders were urged by the platform to refrain from indulging in any trading activity related to LMT tokens as they completed their investigation and determined the next best course of action.
Animoca CEO Yat Siu told internet media, “We are working with Lympo to assist them on a recovery plan, but we don’t have any specific mechanisms.”
Not the First time for Getting Hacked
Hackers have earlier breached the Centralized crypto exchange LCX, managing to steal nearly $7 million on Jan 9 from its hot wallets. Here the hackers made off with stacks of eight different crypto assets.
LCX lost varying amounts of MKR, ENJ, LINK, QNT, SAND, ETH, LCX, and USDC. While the majority of the funds were converted to ETH and sent to Tornado Cash, a privacy tool designed to hide the source and destination of ETH.
The LCX assured its users on Jan 10, they promised to compensate for the losses incurred and that no personal data was compromised during the attack.
Abcbot Botnet Linked to Operators of Xanthe Crypto Mining Malware
Gaming will Prove to be a Gateway to Mass Adoption of Crypto
Brave Browser Now Offers Brave Wallet to Manage your Crypto Portfolio