• Dapps:16.23K
  • Blockchains:78
  • Active users:66.47M
  • 30d volume:$303.26B
  • 30d transactions:$879.24M
Fears of Exploit Arise as Multichain MPC Bridge Witnesses Outflows Exceeding $100 Million

Fears of Exploit Arise as Multichain MPC Bridge Witnesses Outflows Exceeding $100 Million

user avatar

by Max Nevskyi

3 years ago


The Multichain MPC bridge platform is under suspicion of a potential multimillion-dollar exploit due to unusually large outflows. On July 6, it was observed that around $102 million in crypto was withdrawn from Multichain's Fantom bridge on the Ethereum side, along with $666,000 from Dogechain and $5 million from Moonriver. This led to speculations of a possible hack. The withdrawals included 7,214 Wrapped Ether (WETH) tokens worth $13.6 million, 1,024 Wrapped Bitcoin (WBTC) worth $31 million, and $58 million worth of USD Coin from the Fantom bridge's Ethereum smart contract.

The Multichain MPC bridge

Moreover, the Dogechain bridge's Ethereum contract saw a withdrawal of $666,000, which accounted for more than 86% of its total deposits, leaving only around $100,000 worth of assets in the bridge. From the Multichain Moonriver bridge contracts on Ethereum, a total of $5,872,661 worth of USDC and Tether were withdrawn, leaving only around $700,000 remaining on it.

Blockchain security firm PeckShield drew attention to the Fantom bridge transactions, suggesting the Multichain team should investigate. However, it is not confirmed whether the contracts were "drained" or if a large amount of funds were simply withdrawn by users.

Multichain, a multi-party computation (MPC) bridging network, has been experiencing technical issues over the past few weeks. On May 31, the team announced that its CEO had gone missing and it was facing "multiple issues due to unforeseeable circumstances," leading to delayed transactions. On July 5, Binance halted withdrawals of some Multichain derivative tokens due to the network's inability to process transactions promptly.

The Multichain team has acknowledged the abnormal movements and is currently investigating the situation.

0

Rewards

chest
chest
chest
chest

More rewards

Discover enhanced rewards on our social media.

chest

Other news

Fenwick West Settles for $54 Million Over FTX Allegations

chest

US law firm Fenwick West has agreed to pay $54 million to settle claims related to its legal services for the defunct crypto exchange FTX.

user avatarKenji Takahashi

The Legal Fallout from FTX's Collapse

chest

FTX collapsed in November 2022 due to mismanagement and fraud, leading to significant legal repercussions and the conviction of founder Sam Bankman-Fried.

user avatarDiego Alvarez

Potential ETF Inflows Could Boost XRP Price

chest

The CLARITY Act, pending a Senate vote, could lead to significant ETF inflows into XRP, estimated between 4 to 8 billion, potentially boosting its price.

user avatarMaria Fernandez

Ethereum Price Sees Major Reversal but Smart Money Remains Active

chest

Ethereum's price has reversed most of its gains from April, finding support just above $2,000, while smart money investors remain active in accumulating tokens despite market downturns.

user avatarGustavo Mendoza

Bitcoin Spot ETFs Face Record Withdrawals Amid Market Losses

chest

Bitcoin Spot ETFs faced significant net outflows totaling 126 billion last week, marking the heaviest withdrawals since January.

user avatarRajesh Kumar

Decline in XRP Whale Activity Signals Market Compression

chest

XRP whale activity has significantly decreased, indicating a potential market compression phase.

user avatarMiguel Rodriguez

Important disclaimer: The information presented on the Dapp.Expert portal is intended solely for informational purposes and does not constitute an investment recommendation or a guide to action in the field of cryptocurrencies. The Dapp.Expert team is not responsible for any potential losses or missed profits associated with the use of materials published on the site. Before making investment decisions in cryptocurrencies, we recommend consulting a qualified financial advisor.