Cryptocurrency hacker crashes digital token rate in 10 minutes

The crypto fraudster exploited a vulnerability in the Holograph protocol smart contract, issuing 1 billion HLG tokens worth $ 14.4 million. This led to a 79.4% drop in the platform’s token price.

According to Etherscan, the hacker issued 1 billion HLG in nine transactions, the first of which took place on June 13. Seven transactions were made in batches of 100 million tokens. The attacker has already started converting the issued HLG into USDT stablecoins.

Just 10 minutes after the incident, the HLG rate began to fall. Nine hours later, the token dropped by 79.4% from $ 0.014 to $ 0.0029, while HLG’s market capitalization fell from almost $ 22 million to $ 4.8 million. Currently, HLG has recovered slightly to $ 0.008.

The Holograph team confirmed the hack on social network X and released a patch to fix the exploit. Holograph called on cryptocurrency exchanges to cooperate and freeze the accounts of the attackers. Holograph specialists have launched their own investigation into the incident and contacted law enforcement agencies. It is not yet known whether the hacker has been identified. The project promises to compensate users for their losses.

Also recently, the British crypto exchange Lykke suffered from a hacker attack, from which 158 BTC and 2161 ETH worth more than $ 22 million were stolen.