Thorchain protocol hacked, 4,000 ETH ($ 7.6 million) lost, RUNE price down 20%

THORChain is currently on hiatus after the log was hacked. Of that, the damage is estimated at $ 7.6 million, or 4,000 ETH. Immediately after the announcement of this news, the price of RUNE plunged 20% from $ 5.52 to $ 4.6. However, RUNE has rebounded slightly and is trading at $ 5,013 at press time.

RUNE price after announcing that the THORChain protocol has been hacked | Source: TradingView

THORChain allegedly hacked, estimates for theft ranged from $ 7.6 million to $ 25.1 million

Initially, the administrators of the Telegram Group project reported a loss of up to 13,000 ETH, or $ 25.1 million. Not long after that, THORChain’s official Twitter channel updated the damage from the attack, only about 4,000 ETH.

At this stage it was estimated that ~ 4000 ETH (ETH / ERC20) assets were accepted, not 13k ETH.

More detailed assessment and recovery steps will be announced shortly.

The suffered users (LPs) will be healed in the coming weeks. https://t.co/LR2x8VZ2kx

– THORChain # ACTIVATETHESYNTHS⚡️ (@THORChain) July 15, 2021

That announcement reduced the severity of the attack to just over $ 7.6 million at current ETH prices. It’s unclear if the project’s social media accounts are run by the same people.

“THORChain Treasury still has adequate funds to recover the stolen funds, but we ask the hacker to contact the team to discuss refunds. In addition, we also give you a corresponding bonus for recognizing errors in the system, “announced the project administrator in the Telegram group.

At the same time, THORChain ensures that users’ funds will remain safe. They said a preliminary recovery roadmap was underway, and once the vulnerability is patched and the network restarted, the project will send ETH to liquidity pools to reimburse affected users. At the moment the THORChain network has been paused to review the bug and investigate the extent of the violation.

THORChain is a trading platform for cryptocurrencies on various blockchains without going through an intermediary. For this purpose, users only use the native token of the protocol, RUNE, for each transaction. For example, to switch from Bitcoin to Ethereum, you would swap BTC for RUNE and then RUNE for ETH.

Despite using a dual-swap mode, this helps keep THORChain decentralized. However, just because it’s decentralized doesn’t mean THORChain can’t be temporarily closed. The project promises to release a more detailed assessment and recovery steps for the platform once they’re done.

Veronica

According to the AZCoin News

Follow the Youtube Channel | Subscribe to telegram channel | Follow the Facebook page