Multichain, a Leading Web3 Crypto Project, Suffers $126M Hack

a person sitting on the floor with vr goggles using a computer

A prominent web3 crypto cross-chain protocol has fallen victim to a staggering hack, resulting in the loss of over a hundred million dollars, as reported by a reliable blockchain watchdog.

Recently released data by PeckShield, a reputable cybersecurity firm, sheds light on the alarming breach, revealing that malicious actors successfully absconded with a whopping $126 million from Multichain’s Fantom (FTM) bridge. This exploit encompassed various valuable crypto assets, including Chainlink (LINK), Wrapped Bitcoin (wBTC), Wrapped Ethereum (wETH), as well as a trio of stablecoins.

Among the dollar-pegged digital assets pillaged from the company were Dai (DAI), USD Coin (USDC), and Tether (USDT).

PeckShield issued an alert stating, “MultichainOrg has been exploited for approximately $126 million. A staggering $118 million worth of assets were illicitly transferred out of the Multichain Fantom bridge.”

The specifics of the unauthorized transfers are as follows: Tokens worth approximately $16 million, consisting of DAI, LINK, and USDT, were sent to the address 0x9d57. Additional transfers involved roughly $27.6 million USDT sent to address 0x027F, and $30 million USDC sent to address 0xefeef.

Moreover, an amount equivalent to around $30.9 million, represented by 1,023 wBTC, was moved to address 0x622e5. Furthermore, 7,214 wETH, valued at approximately $13.6 million, were sent to address 0x418e.

Following the incident, Multichain issued a statement advising users to refrain from utilizing its services until a comprehensive investigation into the matter is concluded. They expressed, “The assets held in the Multichain MPC address have been suspiciously transferred to an unknown address. Our team is actively investigating the situation and currently unsure about the circumstances. We strongly recommend that all users suspend their usage of Multichain services and revoke any contract approvals related to Multichain.”

In response to the breach, the company announced the temporary cessation of its cross-chain service, without providing a specific timeline for its resumption.

PeckShield’s analysis places this hack in sixth position on their “cross-chain bridge exploit leaderboard.” They state, “MultichainOrg has been drained of approximately $126 million worth of cryptocurrencies, earning it the #6 spot on our cross-chain bridge exploit leaderboard. In the last three years alone, a staggering $1.92 billion associated with cross-chain bridges has been stolen.”

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