Chronology On Binance Smart Chain Suspended Network Following “Potential Exploit” of $100M
On Thursday, Binance Smart Chain halted operations after it reported an investigation of a “potential exploit” that may have targeted hundreds of millions of dollars in cryptocurrency.
BSC Estimate About $100 to $110 Million in Asset Were Transported Off Chain
BNB tweeted, “Due to irregular activity we’re temporarily pausing BSC,” then confirming that the activity was a “potential exploit.”
“An exploit on a cross-chain bridge, BSC Token Hub, resulted in extra BNB. We have asked all validators to temporarily suspend BSC. The issue is contained now. Your funds are safe. We apologize for the inconvenience and will provide further updates accordingly,” tweeted Changpeng Zhao, the CEO of Binance.
An exploit on a cross-chain bridge, BSC Token Hub, resulted in extra BNB. We have asked all validators to temporarily suspend BSC. The issue is contained now. Your funds are safe. We apologize for the inconvenience and will provide further updates accordingly.
— CZ 🔶 Binance (@cz_binance) October 6, 2022
Read More: Binance CEO CZ Says On Thing That Will Help Crypto Mass Adoption
As of late Thursday, it appeared that up to two million BSC tokens were targeted by an attacker, but the actual number of tokens lost may be low.
The BNB Chain estimated that $100 to $110 million in assets had been moved off chain, while stating that $7 million had already been frozen.
In a statement, BSC said it had coordinated a shutdown of the Binance-linked blockchain after spotting issues with its Token Hub protocol, which handled crypto transactions between interlocking chains.
“We are humbled by the speed and collaboration from the community to freeze funds,” one tweet read.
The Chronology Binance Smart Chain Hack
Before the official announcement, Twitter users revealed that the attacker claimed a one million BNB reward through the token hub, then deposited the balance into Venus Protocol, a decentralized lending platform.
“Some gigawhale (possibly Binance) is making a massive on-chain leverage play in real-time. Looks like a huge concentrated bet: Long $ETH vs stablecoins using $BNB collateral.”
Read More: Top 3 Celsius Execs Revealed To Have Withdrawn $56 Million Ahead Of Bankruptcy
Before halting the BNB Chain, they borrowed $150 million worth of stablecoins spread across USD Coin, Tether, and Binance USD (BUSD) and swapped them for Ether, Phantom Protocol (PHM) tokens, and polygon.
Before the BNB chain halt, attacker successfully transferred:
≈ $57M to Fantom
≈ $53M to Ethereum
≈ $400k to Polygon
— Hacken🇺🇦 (@hackenclub) October 6, 2022
“Before the BNB chain halt, attacker successfully transferred: ≈ $57M to Fantom ≈ $53M to Ethereum ≈ $400k to Polygon,” tweeted one Twitter user.
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