Bancor Hacking Theft Results in $23M Loss

Bancor Network has recently shut down its services after a reported breach in security accumulated to $12 million in cryptocurrency theft. The decentralized exchange proceeded to freeze all native coins stolen during the hack, although Ethereum and PundiX coins stolen from hacked wallets on the exchange are gone.

Stolen Assets

After the attack, investigative reports revealed that almost $23 million dollars have been stolen from the exchange during the virtual heist. Ethereum, PundiX and Bancor coins were all involved in the theft. Ethereum accounted for $12 million in coins, with PundiX and BNT coins completing total losses with one million and $10 million stolen coins. Bancor later stated on Twitter that missing BNT coins have been frozen, although Ethereum and PundiX remain missing.

Currently, the company is seeing a drop in its popularity among investors and clients. Its market price is also taking a steep drop despite its necessity to newcomers. The company has also stated that all assets are safe, including digital contracts and. User wallets have also remained untouched, according to Bancor.

As Bancor tokens mostly operate on their native framework, twenty percent in price drop has heavily affected its market. BNT coins dropped heavily after the hack, landing them at around $2.40 in value.

Token Price

Bancor’s trading operations have been stopped due to frozen BNT tokens but wallets remain functional. The company does not freeze its user’s assets, allowing wallets to operate normally despite a halt in trade.

While decentralized exchanges are favored in terms of user asset management, their counter-part is more exposed to potential attacks due to exchange and user asset policies. While freezing assets is a known method of protecting users during attacks like this, although concerns rise regarding freezing funds by official authorities. 

2 years ago

Start Weekly Digest

Similar news