This DeFi Altcoin Is Under Heavy Attack: Price Resets!

This DeFi Altcoin Is Under Heavy Attack: Price Resets!
This DeFi Altcoin Is Under Heavy Attack: Price Resets!

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The cryptocurrency market showed signs of recovery today after heavy losses over the weekend. The leading crypto Bitcoin and many altcoins partially recovered their losses. However, some tokens were frustrated by the problems they experienced. One of them was the DeFi altcoin Grand Base. The protocol suffered over $2 million in losses due to hacked private keys. The hacker then printed and sold GB tokens, causing a significant drop in the market. That’s why the value of GB was reset!

This DeFi altcoin project was hacked, the token price went to zero!

Blockchain security firm Cyvers shared some explanations on the matter. Accordingly, the hacker managed to access the wallet of the Grand Base distributor. Thus, it initiated asset transactions, leading to a dramatic sale of assets worth around $2 million. This action led to a loss of more than 99% in the GB token value of the DeFi altcoin project. Cyvers Alerts shared this development with its followers as follows:

Today, Grandbase_fi faced a significant security breach as their distributor’s wallet was compromised, allowing the attacker to mint GB tokens on BASEChain. The unauthorized transactions triggered a staggering drop in token value, with prices falling by over 99%. GB tokens were exchanged for ETH, approximately 615 ETH, ($2 million), were bridged to ETH wallets.

After this development, the token value was almost zero. GB dropped to $0.008 from its intraday level of $3.06. This means a 99.7% drop. The DeFi altcoin is currently trading close to these levels. During this period, the token’s trading volume increased by over 700%. This indicates a flight of investors.

DeFi Altcoin
GB daily price chart. Source: CoinMarketCap

DeFi altcoin project also confirmed the attack!

Grand Base confirmed the attack on social media platform X. Also, the DeFi altcoin team stated that they are tracking the hackers’ wallets. Additionally, they noted that they are actively working with CEXs to freeze the funds.

The incident shows the vulnerability of Defi ecosystems!”

Cyvers analysts explained that such a breach on the Base network is rare. Commenting on the issue, Cyvers CEO Deddy Lavid underlined the following points:

With a loss of $2 million in unauthorized transactions, today’s breach on Grand Base clearly demonstrates the vulnerability of Defi ecosystems. The fact that the compromised distributor lost access control of its wallet raises concerns. It also highlights the urgency of increased security protocols and careful monitoring to protect against such catastrophic losses in the future.

Meanwhile, last year, attacks in the industry caused a staggering $2 billion in losses. As you have been following on, we also witnessed major attacks in January. During this period, hackers stole about $50 million from the market.

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This DeFi Altcoin Is Under Heavy Attack: Price Resets!