Billionaire blockchain gaming giant Illuvium is currently the subject of much talk after falling victim to illegal activity. Still, they keep their money safe.

Over the past year, the DeFi market has grown exponentially with currently more than 4.3 million users and is showing no signs of slowing down. However, in parallel with this development, hacking, fraud and other illegal activities such as exploiting security vulnerabilities are also gradually developing.

Drastic measures

Illuvium is an open world fantasy martial arts game based on the Ethereum network that aims to be an AAA rated blockchain based sport that includes elements of the DeFi and NFT markets.

After Illuvium discovered the flaw in the staking contracts, it withdrew all funds from the Uniswap pool. This will prevent fraudsters from withdrawing cash.

We have found a weak spot in our staking contracts and the eDAO has therefore taken a temporary break $ sILV Embossing. The attack vector was closed and no funds were compromised. This is purely a protective mechanism for the DAO. (1/2)

– Illuvium (@illuviumio) January 4, 2022

“We found a security flaw in our staking contracts, and as a result, eDAO stopped minting sILV. The attack vector has been disabled and no funds have been compromised. This is purely a defense mechanism for the DAO. “

With the increasing number of hacks, exploits and attacks in the DeFi world, it is imperative for the project to find a method of protection.

According to the update from the project, the vulnerability in the V2 staking contracts has been fixed and the patch will be made available shortly. ILV owners have time to claim their sILV before they sell their land.

With this protective measure, the Uniswap V3 sILV / ETH pool was emptied in a series of large transactions. It even brought the price of sILV to $ 0 temporarily.

Deeper analysis

On further analysis, the team, along with the network’s co-founder, Aaron Warwick, made some observations.

First, users are advised not to buy liquidity. Also, attackers can still steal a certain amount of money. But at the moment it is not clear how many sILV you can withdraw in ETH form before the pool management deducts all this amount.

In addition to this, the development team has also provided users with some details about the next steps to take to protect their funds.

Accordingly, after receiving a snapshot of the real sILV owners, the project will make the necessary chargebacks. The project says it takes the financial security of token holders very seriously and will do their best to ensure users don’t lose money from this attack. At the same time, the development team also warned against buying sILV from unofficial pools.

In addition, Illuvium also warns against scammers posing as the official Illuvium Twitter account pretending to offer help and advises users never to provide a password or seed phrase or click on suspicious links.

Overall, the project is still in the process of an in-depth investigation to provide more necessary information about the hack. Currently, ILV, Illuvium’s governance token that made a splash last year, is trading at the $ 850 mark, with a correction of more than 15% in the past 24 hours.

Source: TradingView

Join Bitcoin Magazine Telegram to keep track of news and comment on this article: https://t.me/coincunews

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