pNetwork DeFi protocol, which permits different blockchains to communicate, has been hacked for $12.7 million worth of Bitcoin.
An unidentified hacker stole 277 wrapped Bitcoins worth more than $12.7 million from the cross-chain protocol pNetwork by exploiting a bug in its code.
The hacker used a bug within the protocol’s codebase to assault pBTC tokens – pNetwork’s version of wrapped Bitcoin – stored on Binance Smart Chain (BSC).
pNetwork talked about the growth and stated: “We’re sorry to inform the community that an attacker was capable of leverage a bug in our codebase and attack pBTC on BSC, stealing 277 BTC (most of its collateral). The other bridges weren’t affected. All different funds within the pNetwork are secure.”
In accordance with pNetwork’s website, there’s currently more than $190 million worth of various crypto assets locked within the protocol’s cross-chain bridges. Since yesterday’s hack, most of them stay secure; solely affected pBTC tokens on Binance smart chain (BSC) – bridges to different blockchains weren’t affected.
The protocol’s builders found the hack shortly after and eventually managed to establish the bug and glued it. The agency additional confirmed that its community is functioning as ordinary apart from the suspended Binance Smart chain bridge.
In the meantime, the corporate has attempted to appeal to the hacker’s good nature and offered a $1.5 million bounty to the hacker if the stolen funds are returned.
The pNetwork talked to the hacker instantly by stating: “to the black hat hacker. Although it is a long shot, we’re providing a clean $1,500,000 bounty if funds are returned. Unfortunately, finding vulnerabilities is a part of the game, however all of us need the DeFi ecosystem to proceed rising. Returning funds is a step in that direction.”
pNetwork Defi Protocol’s native token, PNT, has witnessed its value plunging by 21% in the last 24 hours to face at $0.9273.
The builders acknowledged that they’re engaged on a solution for customers affected by the attack and would replace as quickly as possible.
Security Risks for Crypto Investors:
Since digital funds had been first launched, hackers and cybersecurity groups throughout the globe have been fighting towards each other, which is predicted to proceed.
pNetwork turned the most recent DeFi protocol to have a face hack that led to a lack of $12 million in its protocol.
Last month, the decentralised finance platform Poly Network recorded the largest cryptocurrency theft in history.
On August 10, Poly Network, a protocol for swapping cryptocurrency, was hacked, ensuing within the lack of $611 million. The hack was thought of to be the biggest fraud in decentralised finance (DeFi) in history.
The information got here simply after CipherTrace blockchain analytics agency printed a study disclosing that DeFi hacks account for over 76% of crypto hack quantity within the first seven months of 2021. According to CipherTrace, the DeFi sector registered losses of $474 million from January to July of this year as a result of cybercrime.
Just eight months into 2021, DeFi hacks, frauds, and thefts have already surpassed the entire DeFi crimes witnessed in 2020. The DeFi sector has seen both an expansion and improved safety infrastructure, however that enlargement has additionally attracted more crime.