Cross-chain router protocol (CRP) Multichain, on January 17th first discovered a security breach on its network. However, hackers have continued to take advantage of the weakness in the chain with users having lost over $3M.
Multichain asked users to rescind permissions for six tokens earlier this week to protect their funds from fraudulent persons.
However, after Multichain’s announcement on January 17, other hackers attempted the attack. One stole $1.43 million, while the other offered to refund 80% and retain the remainder as a tip. The stolen amount has now increased to $3 million, according to Tal Be’ery, co-founder of the ZenGo wallet.
WETH, PERI, OMT, WBNB, MATIC, and AVAX are among the six supported tokens remaining vulnerable to the security flaw.
Reaction of users to the hack
On social media, users have criticized the corporation for not giving customers enough information or support about the problem. In exchange for the remaining funds, one user who lost $960k offered 50 ETH to the hacker’s address.
On January 17, the firm claimed that the major vulnerability impacting the six tokens had been disclosed and rectified, yet on January 19, it advised customers to cancel token approvals once more. The comments on Multichain’s latest tweets have since been disabled.
Crypto “ChainLinkGod” on Twitter expressed his confusion by the platform’s remark, while “drarreg17” inquired about what Multichain will do to “compensate people like myself who were affected by the exploits?”
Unhappy users have expressed their dissatisfaction with the company’s Telegram channel today, claiming that Multichain has yet to fix the security flaw or give the help they require.
Be’ery claims that the company contacted the original account, which has been holding approximately 450 ETH ($1.43 million) in stolen cash since Jan. 18, and promised the hacker or hackers a bug “bounty for exploits.”
Multichain (previously Anyswap) aspires to be the ultimate Web 3.0 router. The ecosystem allows no-slippage exchanging and supports 30 chains, including Bitcoin (BTC), Avalanche (AVAX), Ethereum (ETH), Fantom (FTM), Litecoin (LTC), and Terra (LUNA).
With roughly $9 billion in TVL on the table, it’s unclear when or how Multichain will resolve the matter.
