UXLINK, a project billing itself as a Web3 social platform, suffered a hack that may have resulted in the theft of millions of dollars in assets. Since then, the platform’s token price has fallen by more than 70%.
On Monday, the UXLINK team confirmed that it had discovered a security breach related to its multi-signature wallet, «resulting in a significant amount of cryptocurrency being illegally transferred to both centralized and decentralized exchanges.»
Today, we discovered unauthorized minting of UXLINK tokens by an attacker. We strongly recommend that all community members refrain from trading UXLINK on decentralized exchanges at this time to avoid potential losses from these unauthorized tokens, the project reported.
This occurred after Cyvers Alerts experts noted that the ETH address had delegated, removed the administrator role, and added a new multisig owner. The hacker then transferred nearly $4 million in USDT, $500,000 in USDC, 3,7 WBTC, and 25 ETH.
Lookonchain later reported that the hacker also sold UXLINK tokens on decentralized exchanges through six wallets, receiving at least 6732 ETH, worth approximately $28,1 million.
Most of the hacker’s assets were frozen by major exchanges, minimizing further risks to the community, Lookonchain wrote in a post.
UXLINK also warned that the attacker continues to issue their tokens. On Monday, approximately 10 trillion UXLINK were issued. According to CoinGecko, this caused the UXLINK price to drop by more than 70% to $0,08912.