NFT platform is hacked, collectors are desperate

In the early hours of Monday (14th), an NFT platform was hacked, taking several digital artworks from its collector clients who were desperate over the case.

In recent years, the security of financial-related service platforms has been increasingly tested. Banks, fintech companies, including cryptocurrencies, are constantly targeted by hackers.

In an attention-grabbing marketplace like NFTs, the situation is no different. The term is considered to be the word of 2021, showing the scale of the industry’s impact.

Images, videos, etc. can become rare digital products, a market that has moved billions of dollars. These are also valuable to hackers as many people want to buy rare digital assets.

NFT platform hacked, collectors observe over a million reais stolen

Wizard Pass’s project is to give its customers early access to new cryptocurrency shopping lists and upcoming NFT collections. The platform ended up being popular with some market investors as those who initially bought the tokens could benefit from a rise in market assets.

However, the platform’s security was put to the test this Monday and failed among collectors who saw Cool Cats, Clone Xs and even Mutante Apes (MAYC) stolen. The crooks responsible for the intrusion have already profited from 107 Ethers, or 1.4 million reais today.

“We know the NFT Wizard server has been hacked. Please do not click on Twitter or any links on the server. We are working on a solution to this problem!”

After announcing that they were the target of the hack, the team managed to regain access to the affected Discord and said they were seeking help for those affected by the situation. Regardless, the case shows that hackers have their sights set on these platforms.

In addition to the NFTs sold, the cybercriminals also took 66 Ethers worth 866,000 reais, which shows that the vulnerability exceeds 2 million reais.

It is unclear how the hacked NFT platform will address the situation, but many collectors who have left their assets there are outraged by the situation.

NFT Security Issues

What caught my attention is that the NFT market has attracted many new users into the cryptocurrency market, many of whom have no idea what a secure wallet is and how to store their gear in it. This is probably one of the issues that has the most impact on NFTs because by pooling art on the platform, there is a single point of failure.

Take OpenSea, which launched an investigation in February 2022 after a phishing attack cost users millions of NFTs. So it’s clear that platforms in this new area are still trying to adapt to provide services, but it’s important that collectors seek to learn and practice best security practices in this environment.

Leave a Comment

Your email address will not be published.