Hacker minted one billion tokens: The price crashed!

blockchainHLG, the local token of the Holograph platform, dropped 79.4 percent after a hacker hacked the protocol’s operator agreement and minted 1 billion tokens.

Holograph’s X account confirmed the cyberattack on June 14. The account revealed that it had since fixed the first attack and worked with cryptocurrency exchange partners to freeze the hacker’s accounts. Holograph added that it launched its own investigation and contacted law enforcement.

How did the hacker carry out the attack?

According to Etherscan, 1 billion HLG tokens were minted in nine processes by the hacker exploiting the smart contract vulnerability; The first edition took place on June 13 at 12:47. Seven of these were sent in the form of 100 million tokens.

It only took 10 minutes for the price of HLG to start falling. In nine hours, the token fell 79.4 percent, from $0.014 to $0.0029. CoinGecko According to , HLG’s market value dropped from approximately $22 million to $4.8 million during this time period. HLG has since slowly recovered to $0.008.

At current prices, 1 billion HLG tokens are worth $7.4 million, but the hacker had already started converting the minted HLG into Tether.

Matt Casto, cryptocurrency researcher at venture capital firm CMT Digital, believes the hacker is a malicious developer who funded Holograph’s operator agreement address 26 days ago.