Altcoin project GymSinglePool, one of the elements of GYM Network, has been hacked. After the attack, the altcoin price crashed. We also have whale news. ApeCoin, on the other hand, became one of the most traded assets among the top 5,000 Ethereum whales in the last 24 hours.
Altcoin project GYM Network hacked, $2.1M stolen
GYM Network to optimize yield farming process on BNB Blockchain and make it simple for beginners A cross-protocol DeFi aggregator designed. PeckShield cybersecurity provider shared that GymSinglePool, one of its GYM Network items, has been hacked.
The GymSinglePool of @GymNet_Official is hacked w/ the loss of $2.1m (~7.5K BNB). The bug is due to the lack of caller verification, which is exploited to increase the balance without making any payment. The stolen funds are now deposited via @TornadoCash https://t.co/I2eD8WBWXk pic.twitter.com/tUl3wnuIAW
— PeckShield Inc. (@peckshield) June 8, 2022
There was no caller verification tool in the architecture of the pool. Malicious people were able to increase their balance without sending them money. This design flaw allowed hackers to steal more than $2.1 million. The attackers immediately started moving their loot to the Tornado Cash transaction obfuscation service.
A core native utility and governance token of the protocol, GYM instantly lost more than 50% of its price. The token fell from $0.0099 to $0.00048.
Are more altcoins at risk?
Ironically, the protocol has been double audited by PeckShield itself and CertiK. They also took advantage of Alpaca Finance’s 20-time audited codebase. Blockchain researcher Kyrian Alex (Kyrian.sol) emphasized that GYM Network is not the only protocol with a similar design flaw. Alex explained:
This is not the first protocol to be hacked for ‘lack of caller verification’. Apparently this means I’ll have to check most of these clone protocols looking for the same vulnerability.
Team representatives confirmed the fact of the attack. GYM Network’s community coordinator explained that the vulnerability is in a new ‘Demand and Reinvestment’ tool that was deployed two days ago. However, the team stated that by press time, the source of the error has been identified and fixed.
ApeCoin (APE) is the most traded asset among whales
ApeCoin has become one of the most traded assets among the top 5,000 Ethereum addresses in the last 24 hours. Traders have moved more than $20 million in tokens in the last 24 hours. The total transaction volume for the same period is approximately 250 million dollars.
ApeCoin is actively trading on whale addresses. Besides that, the top 100 Ethereum whale addresses have around $20 million worth of APE. This makes APE one of the largest holdings of all assets in the crypto market.
ApeCoin market performance
Despite the high activity of Ethereum whales, the asset’s volatility in the last two days has remained around 1%. This rate is not very low. However, ApeCoin’s market performance is extremely lackluster. Experts attribute such low activity from traders and investors to the lack of a use case and the collapse of the NFT industry in general.
In addition, profitability is not very good. APE has lost about 80% of its value since hitting a new high in April.
There are porting issues for altcoin
After a hugely successful cryptocurrency distribution, APE has caused major turmoil on the Ethereum network. Because it caused a huge pay rise, it blocked the network. Then , as we have mentioned in the news ofKriptokoin.com , it made decentralized applications unusable.
Shortly after, the developers behind the NFT collection and cryptocurrency were accused of providing a problematic code in the contract. Despite this, he offered the community to move the money within their network to avoid problems with Ethereum in the future.
Despite the proposal, the DAO behind the ApeCoin and BAYC collection expressed negative views. Furthermore, the DAO stated that the APE should remain on the Ethereum Blockchain without moving anywhere else.
