A little while ago, the VeChain Foundation suffered from a major issue. Its VET buyback address was compromised, resulting in the theft of many tokens.
In a new update, the Foundation offers some clarification as to what went on exactly.
The VeChain Token Theft Seems Under Control
All of the other Foundation wallets remain uncompromised, which is a positive note.
All major exchanges were notified of the stolen funds and asked to look out for suspicious transactions.
There is even an official blacklist to keep tabs on where the stolen funds has gone to.
Several trading platforms have put their best foot forward to avoid a massive VeChain price dump.
The culprit quickly found out about this development and tried a different approach.
By creating thousands of wallets and DDoSing the blacklist on VeChainStats, the situation escalated very quickly.
The only viable course of action was to release an emergency patch a few days ago.
This update, which mainly affects masternodes, allows users to block addresses associated with the stolen funds altogether.
So far, 727 million VET has been actively frozen, which marks an important milestone.
It is now up to the community to determine how those frozen funds need to be treated.
Turning the balances into burnt tokens is one possible course of action.
If this action is to pass, the theft could turn into a big positive for VeChain
None of the information on this website is investment or financial advice and does not necessarily reflect the views of CryptoMode or the author. CryptoMode is not responsible for any financial losses sustained by acting on information provided on this website by its authors or clients. Always conduct your research before making financial commitments, especially with third-party reviews, presales, and other opportunities.