The exploit was due to a smart contract vulnerability involving hundreds of other users besides the hacker who took as much as they could by simply copying and pasting the transaction data used by the original hacker and changing the wallet address to their own. . The event was later considered by many to be a decentralized heist due to the involvement of regular community members.
The Nomad team later told Cryptooshala that some of the people who received the funds acted benevolently to protect the cryptocurrency from falling into the wrong hands.
After the hack, the BestBrokers cryptanalysis team discovered that the first exploit was committed on August 1st, resulting in 400 bitcoins (BTC) being debited in four different transactions. The hackers later redirected all 22,880 ethers (ETH), then moved on to more than $107 million worth of stablecoins, and finally began to redirect project-backed altcoins.
WBTC, Wrapped Ether (WETH), USD Coin (USDC), Frax (FRAX), Covalent Query Token (CQT), Hummingbird Governance Token (HBOT), IAGON (IAG), Dai (DAI), GeroWallet ( GERO). ), Card Starter (CARDS), Saddle DAO (SDL), and Charli3 (C3) tokens taken from the bridge.
Continued Solana Wallet Hacking Depletes Millions
Some altcoins stolen from the platform have dropped by 94%. Data collected by the analytics firm showed that the following altcoins were the most affected after the hack:
The smart contract vulnerability that was exploited was noted in a security audit report prepared by Quantstamp in the first week of June. The Nomad team even responded to the vulnerability by stating that “it’s virtually impossible to find a pre-image of an empty slate.”
The auditors believed that the Nomad team misunderstood the problem at the time, and within two months, the same vulnerability caused nearly $200 million in losses.
The August 3 Nomad token hack was the fourth-largest crypto hack in history, with nearly $200 million worth of crypto assets stolen from the platform. However, not only the hack, but the methodology behind it has caught everyone’s attention.
Cryptooshala has reached out to Nomad with questions related to the discovery and will update the story accordingly.
Credit : cointelegraph.com