Fantom Foundation Crypto Hack

The Fantom Foundation, the entity responsible for the development of the Fantom network, recently fell victim to a cryptocurrency hack resulting in a loss of more than $550,000.

The foundation acknowledged the security breach, noting that the majority of the stolen funds belonged to individual users, with 99% of the foundation's assets remaining unaffected.

Fantom Foundation has issued a press release, confirming that they are actively investigating the security breach.

“While there were initial reports of a zero-day hack via Google Chrome, the mechanism for the attack is being actively investigated.”

pic.twitter.com/gShkT3C9XV
— Fantom Foundation (@FantomFDN) October 17, 2023
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Initial reports from blockchain security researchers indicated that the attacker had made off with roughly $7 million in cryptocurrency.

However, the Fantom Foundation issued an official statement to clarify that some wallets labeled as "Fantom: Foundation wallet" were incorrectly identified by block explorers, and not all of the pilfered assets were linked to the foundation.

“Some of these impacted wallets were labeled “Foundation Wallets”, but they were no longer utilised by the organizaton and had been reassigned to a Fantom employee, making this a targeted personal attack. The funds lost by the employee are currently being tracked and investigated.”

The ongoing inquiry seeks to unveil the weaknesses that resulted in the breach of these wallets.

The Fantom Foundation is the driving force behind the Fantom network, an Ethereum Virtual Machine-compatible smart contract platform with more than $45 million in assets locked within its contracts, as reported by DefiLlama.

It's important to emphasise that the attack was mainly directed at the foundation and other users of Fantom wallets, as opposed to the Fantom network itself.

On 17 October, Spreek, an on-chain observer, reported the alleged attack on the foundation based on information from Telegram.

They initially identified the hacked wallets and estimated losses at $6.7 million.

However, they also acknowledged that the drained funds may have included contributions from sources beyond the Fantom Foundation.

CertiK, a blockchain security platform, confirmed the security breach and provided an initial estimate of $657,000 in losses.

#CertiKSkynetAlert 🚨

Fantom Foundation wallets have been drained on Ethereum and Fantom

So far we can confirm:

Fantom: Foundation Wallet 20 lost ~$470k on FTM
Fantom: Foundation Wallet 18 lost at least ~$187k on ETH

We will continue to track https://t.co/KnyqgaO4CB<br/>— CertiK Alert (@CertiKAlert) October 17, 2023<br/> a

However, as additional details surfaced, this figure was later revised to approximately $7 Million.