Key Takeaways
- UXLINK’s token dropped over 77% after a major security breach in its multisig wallet.
- The project is working with security experts and exchanges to recover assets and has advised against trading UXLINK during the investigation.
UXLINK’s native token crashed 77% on Monday after the project confirmed a security breach in its multi-signature wallet.
The token dropped from $0.3 to $0.072 following the team’s disclosure, before rebounding above $0.1, according to CoinMarketCap data.
The security incident was first flagged by Cyvers Alerts, which reported abnormal UXLINK transactions worth about $11.3 million.
The UXLINK team confirmed the unauthorized minting of tokens by a malicious actor and said a “significant amount” of crypto assets were illicitly transferred to both centralized and decentralized exchanges. The project is working with internal and external security experts, including PeckShield, to investigate the incident.
“A large portion of the stolen assets has already been frozen, and collaboration with exchanges remains strong,” UXLINK said in an update. “No signs of individual user wallets being targeted by the attack.”
The team is implementing emergency measures, including reaching out to major exchanges to temporarily suspend trading and initiating a token swap plan. The incident has been reported to the police and relevant authorities.
“We strongly advise all community members not to trade UXLINK on DEXs at this time, in order to avoid potential losses caused by these unauthorized tokens,” the project warned.
Source: https://cryptobriefing.com/uxlink-multisig-breach-token/