Multichain crypto project suspended due to $120 million hack

Multichain crypto project suspended due to $120 million hack

59
Author: Robert Strickland (crypto-journalist)
Subscribe

Multichain crypto project suspended due to $120 million hack
Multichain Cryptoproject has suspended its work due to a possible hack and $120 million in asset outflow
While the company has not determined the cause of the incident, an investigation is underway

Multichain, the crypto service used to move tokens between blockchains, has experienced an unexplained outflow of more than $120 million in assets, according to digital asset security specialist BlockSec.

Multichain is one of the so-called cryptocurrency bridges. Such services work on software smart contracts, allowing the conversion of crypto-assets from incompatible ecosystems (tokens of one blockchain to tokens of another) without intermediaries. According to analytics service DefiLlama, the dollar equivalent of total value locked (TVL) in Multichain is $1.25 billion.

 

Measure blockchain. What is the importance of the TVL indicator and how to properly count it

 

Multichain representatives, for their part, noted on Twitter (the social network is blocked in Russia) that the assets were "abnormally moved to an unknown address" and added that "the team is not sure what happened and an investigation is underway."

Block Sec later clarified that the tokens have now been distributed to six cryptocurrency wallets, but did not give a reason for the incident.

This week, the U.S. Department of Homeland Security (DHS) returned funds to Bitfinex, a bitcoin exchange, that had been confiscated as part of an investigation into a 2016 hack of the site. As a result of the hack, the exchange lost nearly 120,000 BTC ($71.8 million at the rate at the time, more than $3 billion at the current price) in 2016. It has now returned 6,917 BCH ($1949.9 at the exchange rate at the time of writing) and $312,219.7.

Other news

Bitcoin is growing without mass hype. When everyone starts talking about cryptocurrency
Traders in options are betting on Bitcoin to rise above $65,000.
How Bitcoin Halving Will Affect Its Price. Key Points from the Grayscale Report
Bitcoin has returned to growth and reached $45,000. What's next?
In London, the trial of the self-proclaimed creator of Bitcoin has begun.
One of the best months. What will happen to Bitcoin in February
Trustpilot