Vulcan Forged NFT marketplace was hacked and $ 135 million is gone

Vulcan Forged

Another blockchain project fell victim to cyber criminals. Vulcan Forged, a blockchain gaming studio and NFT marketplace, announced that 148 wallets were compromised, private keys stolen, and accounts emptied. However, all victims are said to be compensated, while those affected join companies to identify the perpetrators.

Vulcan Forged touts itself as an “easy-to-play, easy-to-build ecosystem” that supports blockchain gaming through development programs, incubation and crowdfunding. It hosts popular blockchain games and is also an NFT marketplace. Its native token is PYR, which players use for transactions on the network, but which is also traded on secondary markets , with Binance listing it only three weeks ago.

Vulcan Forged announced the theft on Twitter. The PYR rate at the time of the crime was just over 30 dollars, so the total damage was over 135 million dollars.

Vulcan Forged states that the criminals were able to access the private keys of the 148 victims, which gave them access to their wallets. The company said:

“We are powerless when it comes to removing funds from wallets whose private keys have been stolen and the funds have not been withdrawn by customers.”

It announced that it would abandon the “semi-custodial solution” it is currently working with and switch to a fully decentralized wallet, but did not provide any details.

Compensation for victims and prosecution of criminals

The good news for the injured customers is that the stolen PYR tokens will be fully refunded:

“For those who have also lost other assets, including ETH and MATIC, we will also refund the equivalent in PYR, as this was ultimately our responsibility.”

Victims have been asked to email with the email address they used to register on the platform and a metamask address to which they would like to receive their refund.

The company is working to track the funds and has reached out to cryptocurrency exchanges to get them to block the address that was used in the theft. It went on to say that the wallet owners have likely given out personal information as part of the KYC procedure of the exchange they are clients with and will be followed up from that point. If the perpetrator (s) carried out KYC on an exchange, the investigation should not be difficult.

Despite the security incident, the Vulcan Forged team is as motivated as ever and will continue to focus on the goals of the project, it concluded.

The PYR token suffered a heavy slump after the hack was announced. It lost about 25% and was trading at $ 23 at press time.

Vulcan Forged

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