140000 Crypto Assets stolen from Vulcan Forged game. Rather than storing wallet keys on the company’s servers. Vulcan Forged CEO Jaime Thomson intends to allow community members. To handle their own wallet keys starting now.
In recent years, the number of cyberattacks on cryptocurrency-related services has increased significantly. Recently, a hack attempt on the Vulcan Forged crypto-gaming ecosystem. Resulted in the loss of $140 million (approximately Rs. 1,062 crore). In crypto assets belonging to its members. H ackers gained access to the keys of 96 wallets and stole 23.7 percent. Of the project’s total circulating supply of tokens, according to the study. The gaming ecosystem provides users with these cryptocurrency wallets. Which are constructed on the Ethereum, Polygon, and VeChain blockchains. And administers the key to these wallets on their behalf.
The CEO of Vulcan Forged, Jaime Thomson, released a video apology on Twitter. Recognizing the breach and referring to December 13. As “the saddest day in the company’s history.”
“We use Venly, which is a wallet solution that is semi-custodial in nature. Venly is a service that, as far as we are aware. Is working properly and has not been hacked or exploited in anyway. What has happened is that someone has hacked our servers. Obtained the Venly credentials, and then used those credentials. To acquire the private keys of the Forged users. The company’s treasury is being used to reimburse victims of the hack attack, Thomson revealed. “Going forward, of course, we will only use decentralised wallets. So that we never have to deal with this issue again,” Thomson said. Revealing that the company is using its own funds. To reimburse victims of the hack attack and 140000 Crypto Assets.
Users can now handle their own wallet keys
Thomson essentially stated that the company will now let consumers. To handle their own wallet keys. Rather than accepting responsibility for their keys on the company’s servers. As previously stated.
The hackers have taken possession of assets in the cryptocurrencies Ether and Polygon. As well as the native PYR cryptocurrency of Vulcan Forged. Which has seen a drop in value following the hack. And is currently trading at $20 (roughly Rs. 1,517 per token) on the cryptocurrency exchange CoinMarketCap.
Rather than allowing the hacker to cash out the stolen assets. Vulcan Forged had asked its community members to withdraw funds. From liquidity pools on decentralized exchanges. Making it more difficult for him to do so.
The cyber-criminal, on the other hand, was able to sell small batches of PYR in exchange for Ether. According to a report by The Block Crypto, $2 million in PYR (approximately Rs. 15 crore). It is currently sitting in a compromised wallet. That is now under the authority of the hacker.
In order to collect their compensation, the corporation has requested that. Impacted members create accounts with MetaMask.
According to market research tracker CoinGecko. The cryptocurrency sector is currently experiencing a global boom. With the whole market capitalization surpassing $3 trillion. (Approximately Rs. 2,22,79,296 crore) in recent weeks.
The cryptocurrency assets of “Cream Finance,” an Ethereum-powered lending system. Were stolen in a large hack attack in October. Resulting in a loss of $130 million (approximately Rs. 972 crore).
According to a recent report, cryptocurrency-related crimes. Would have cost the global economy almost $10.52 billion in 2020. (Roughly Rs. 79,194 crore).
A report published earlier this month by the Federal Bureau of Investigation (FBI). In the United States stated that cyber criminals are tricking innocent people. Into using physical cryptocurrency ATMs and digital QR Codes.