Crypto Hack Alert: PlayDapp in Crisis as Hackers Loot $290M in PLA Tokens

The post Crypto Hack Alert: PlayDapp in Crisis as Hackers Loot $290M in PLA Tokens appeared first on Coinpedia Fintech News

In a distressing turn of events, PlayDapp, the Blockchain gaming platform, finds itself grappling with a second cybersecurity exploit within a week. The initial breach on February 9th resulted in a staggering loss of $31 million in assets, and now, the malevolent actors have managed to pilfer a cumulative $290 million worth of PLA tokens, PlayDapp’s native cryptocurrency powering its gaming platform and NFT marketplace.

Exploited Again: A Deeper Dive

On Friday when the attacker gained access to the platform’s backend infrastructure, he allegedly added his address to the PlayDapp backend.

The unauthorized wallet executed a private key compromise, minting 200 million PLA tokens valued at $36.5 million. Undeterred, the hacker escalated their malicious activities, creating an additional 1.59 billion PLA tokens on February 12, amounting to a staggering $253.9 million. These ill-gotten gains were then laundered through exchanges.

A massive loss

Maintaining access to the company’s systems, the audacious hacker, after an initial theft of $36 million, struck again, making off with an additional $254 million. This brings the total losses for PlayDapp to an astounding $290 million.

Experts believe the hacker gained access to one of the platform’s private keys, which they used to mint new funds into their wallet.

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PlayDapp’s Swift Response

Reacting promptly, the PlayDapp team took decisive action. They halted the PLA smart contract and requested a transaction halt for a snapshot. Immediate communication with cryptocurrency exchanges (CEXs) resulted in the suspension of deposits and withdrawals, curbing potential losses. The hacker’s wallets were frozen on major CEXs, impeding further illicit activities.

The PlayDapp team directly contacted the hacker through an on-chain message, offering a reward for the immediate return of all stolen assets. Despite repeated attempts, the hacker remained elusive. Undeterred, the team issued a stern warning of involving the FBI and law enforcement agencies, urging compliance.

Publicly, they announced a bounty and sought assistance from WEB3 security agencies.

Market Impact: PLA Token Takes a Hit

Following the breach, the PLA token’s price plummeted to $0.15 on February 13, marking a 2.9% decrease over 24 hours. The PlayDapp team, undeterred by the challenges, initiated communication with the hacker and is actively working towards recovering the stolen tokens.

The crypto community anxiously awaits the hacker’s response and anticipates the forthcoming mitigation plan from the resilient PlayDapp team.

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