Phantom, a crypto wallet working under the Solana blockchain, is the subject of a $5m hack – the latest crypto-related attack in the past several months.
A total of 7,767 wallets on the Solana blockchain network were hacked into by an unknown actor, with four wallets highlighted as potential associates of the hacker, Solana confirmed via its Twitter yesterday.
Up to $5m of stolen funds is being reported by crypto insiders as the case is ongoing.
Engineers from multiple ecosystems, with the help of several security firms, are investigating drained wallets on Solana. There is no evidence hardware wallets are impacted.— Solana Status (@SolanaStatus) August 3, 2022
This thread will be updated as new information becomes available.
The attack on Phantom wallets only targeted ‘hot’ wallets – which are always connected via the internet, allowing seamless use to store and trade tokens.
Phantom hit a $1.2bn valuation last January, becoming one of the most popular crypto wallets on the Solana blockchain. The crypto wallet firm stated on the hack: “We are working closely with other teams to get to the bottom of a reported vulnerability in the Solana ecosystem.”
“At this time, the team does not believe this is a Phantom-specific issue.”
This latest crypto hack is one of many to have transpired over the past several months. A cryptocurrency bridge, Nomad, has recently been the subject of a $200m hack. A NFT-based online game, developed by Axie Infinity, reported a $600m hack to one of its games last month.
Fraud and ponzi schemes have also been prevalent in the crypto sector as of late. 11 members of Forsage were charged by the Securities and Exchange Commission (SEC) over a $300m pyramid scheme.
The latest hack to the Solana network has also compromised TrustWallet, Solflare, and Slope crypto wallets. Solana has warned wallet providers that platforms affected by the hack should be treated as abandoned.