Binance Coin Worth $100 Million Stolen In A Bridge Attack

    In the latest development, Binance Coin (BNB) the native cryptocurrency of the Binance blockchain faced a major exploit with hackers stealing $100 million worth of BNB tokens. The exploit occurred on a cross-chain bridge BSC Token Hub.

    This is the cross-chain bridge connecting BNB Beacon Chain (BEP2) and BNB Chain (BEP20 or BSC). A few hours ago, Binance chief Changpeng Zhao tweeted that the issue has been “contained now”. On his Twitter handle, CZ wrote:

    An exploit on a cross-chain bridge, BSC Token Hub, resulted in extra BNB. We have asked all validators to temporarily suspend BSC. The issue is contained now. Your funds are safe. We apologize for the inconvenience and will provide further updates accordingly.

    One of the spokespersons of BNB Chain, the Binance-backed blockchain stated that the incident involved $100 million to $110 million worth of digital assets stolen. Of them, $7 million of digital tokens have already been stolen.

    Cross-chain bridges have been the common point of attack for hackers. These are basically platforms that allow transferring tokens across blockchains. Interestingly, the Binance chief has said that they would be compensating for all the funds lost. “In all likelihood, Binance will cover any fund that the hackers get away with,” he added.

    Binance Coin (BNB) Price Tanks 4%

    Following the news of the exploit, the price of BNB Coin came under immediate selling pressure. As of press time, BNB Coin is trading 3.8% down at a price of $285 and a market cap of $46 billion. As a result, the BNB Coin has lost almost all of its last week’s gains. The data from blockchain security and analytics firm PeckShield shows:

    BNBchain exploiter has bridged ~$89.5M to other Chains (non-BSC chains), ~58% out to Ethereum and ~33% out to Fantom, ~4.5% out to Arbitrum.

    The case of Binance Chain is the latest among several bridge-exploits taking place this year.

    Bhushan is a FinTech enthusiast and holds a good flair in understanding financial markets. His interest in economics and finance draw his attention towards the new emerging Blockchain Technology and Cryptocurrency markets. He is continuously in a learning process and keeps himself motivated by sharing his acquired knowledge. In free time he reads thriller fictions novels and sometimes explore his culinary skills.

    The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.

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