GMX Whale Wallet Phishing Attack Causing Damage $3.4 Million Worth Of GMX Tokens

Key Points:

• Several members of the community saw unusual GMX token trades on January 3. According to reports, a GMX whale lost $3.4 million in GMX after falling for a phishing scam.
• The phishing event was confirmed by the administrator of GMX’s Telegram channel, who also made it clear that there were no security issues with the GMX platform itself.
• To exchange GMX for Ether, the attacker transferred GMX valued at around $3.4 million to a different address.

A GMX whale lost $3.4 million in GMX, the native token of the decentralized trading system GMX, after falling for a phishing attack. On the open market, the tokens were subsequently sold.

Several members of the community saw unusual GMX token trades on January 3. The transactions were then identified as an exploit that stole $3.4 million worth of GMX tokens from a GMX whale by security companies CertiK and PeckShield.

The phishing event was confirmed by the administrator of GMX’s Telegram channel, who also made it clear that there were no security issues with the GMX platform itself.

On-chain data reveals that the perpetrator began withdrawing money from the victim’s wallet on January 3 around 7 PM UTC. Security analysts PeckShield calculated that the attacker transmitted GMX worth approximately $3.4 million to another account and exchanged them for Ethereum. At an address that is thought to belong to the hacker, these stolen assets were bridged onto the Ethereum mainnet.

The hackers reportedly acquired hold of 82,519 GMX tokens and traded the assets for 2,627 ETH, according to the data analysis tool Lookonchain. The assets were thereafter cross-chained to the Ethereum network by the attackers via the Hop and Across protocols.

A moderator in the group responded that the team was in touch with the assault victim when asked how they were positive that a hack had taken place.

The token’s value fell below $37.8 as the hack was taking place before quickly rising again. It is currently trading at about $41.5 at the time of writing.

The holiday season saw activity from DeFi hackers. Through a flash loan assault on December 25, $12 million worth of digital assets were seized, wiping out Defrost Finance users. According to CertiK Alert, flashloan assaults in December 2022 resulted in losses of almost $7.6 million, a rise from the losses in November, which totaled about $5.2 million.

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