No one noticed that hackers stole over half a billion dollars worth of cryptocurrencies.
The team behind the Ronin sidechain, which was developed for the popular game Axie Infinity, said they discovered that their network had been stolen starting in March. This theft is worth approximately $615 million and is one of the largest Defi losses to date.
The official website of the Ronin Network says developers were only made aware of the missing funds by a user who was unable to withdraw their own ether.
Users are unable to withdraw or deposit funds at the moment because of the draining of the bridge contract.
In the Philippines, people spend real money in order to get access to the game where they hope to earn token that can be used in the game.
Unlike previous Defi disasters, the issue with the Ronin hack does not appear to be a smart contract exploit, meaning there was no bug in the code. Rather, whoever stole these funds took a more traditional approach and swiped the cryptographic keys from Sky Mavis and a third-party validator.
The attacker used hacked private keys to make fake withdrawals.
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Ronin says it is working with law enforcement and Chainalysis to track the funds.
It is possible to see where the stolen funds are at the time of writing. While some are moving, most of the boosted ether andUSDC is sitting in two wallets controlled by the hacker or hackers. Some funds have been moved. The initial transfers are documented in the wallet.
A half-billion dollar hack was not enough to cause any alarm bells. Either that or the so-called future of finance is lacking in alarm bells.
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