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Alameda-Backed ChainSwap Just Got Hacked. These Are All Affected Tokens

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Sun, 07/11/2021 - 08:21
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Alex Dovbnya
The ChainSwap hack serves as yet another stark reminder that DeFi isn’t sunshine and rainbows
Alameda-Backed ChainSwap Just Got Hacked. These Are All Affected Tokens
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Cross-chain decentralized finance platform ChainSwap (ASAP) has been drained of roughly $8 million after a critical vulnerability in its smart contract was exploited by a hacker.

In its announcement, the project is urging users not to buy its native token while the incident was being investigated.  

It claims that the funds from individual wallets are safe, but send and withdrawal functions are yet to be resumed.            

More than 10 tokens have been impacted by the exploit.    

UniFarm (UFARM), Optionroom (ROOM), OroPocket (ORO), and other projects have decided to temporarily pull all liquidity from Uniswap and Pancakeswap.

Umbrella Network (UMB) has announced that it’s buying back $230,000 worth of its native tokens, and it’s up to the community to decide how they will be spent. 

The project also says that it will no longer rely on ChainSwap for token bridging. 

The hack caused some turbulent price action. Wilder World (WILD), one of the affected tokens, collapsed 99.8 percent before recovering, according to CoinGecko data.

CoinGecko
Image by coingecko.com

In April, ChainSwap raised $3 million from Alameda Research, NGC Ventures, OKEx’s Block Dream Fund, and other investors. 

It allows swapping a slew of obscure DeFi tokens listed on its platform between Ethereum, Binance Smart Chain (BSC), and Huobi Eco Chain (Heco).

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About the author

Alex Dovbnya (aka AlexMorris) is a cryptocurrency expert, trader and journalist with extensive experience of covering everything related to the burgeoning industry — from price analysis to Blockchain disruption. Alex authored more than 1,000 stories for U.Today, CryptoComes and other fintech media outlets. He’s particularly interested in regulatory trends around the globe that are shaping the future of digital assets, can be contacted at alex.dovbnya@u.today.