Scam Alert: Multichain Hack Victims Targeted by Fantom (FTM) Impersonators

As the cryptocurrency segment is recovering from another nine-digit hack of the bridge infrastructure, malefactors are already trying to scam its victims for the second time. Despite Elon Musk allegedly cracking down on Twitter bots, they managed to activate thousands of accounts to promote scams.

Timeline of Fantom, Multichain

Circle and Tether have blacklisted five addresses containing $67.5 million worth of assets stolen from MultiChain on July 7. USD Coin (USDC) issuer Circle froze three accounts holding $65 million worth of stolen assets, including 63 million USDC, PeckShield tweeted.

It looks like hackers are not taking a break at all as just a few hours after the Multichain hack, these bad actors are on the rampage again. This time around, they have taken to Twitter to circulate a phishing link.

A significant vulnerability has been exploited in the Multichain Fantom Bridge, resulting in the theft of millions of dollars worth of crypto assets. Hackers used a smart contract vulnerability to dump various cryptocurrencies, including WBTC, USDC, DAI, and WETH.

Circle, the official issuer of USDC, the second largest stablecoin by circulating supply, has frozen $63 million from the Multichain hack. Compiled Etherscan data on July 7 shows that the stablecoin issuer froze $27.65 million, $30.1 million, and $5.5 million in three transactions, hampering the hacker's cash-out efforts.

Cross-Chain Router Protocol Multichain has issued an urgent warning to its users after approximately $126 million worth of cryptocurrencies were drained from its platform. The service has suspended operations, with all bridge transactions currently stuck on the source chains.

Fantom (FTM) price has been experiencing a dip in the past few days. This fall appears to have worsened in the last 24 hours due to FUD (fear, uncertainty, and doubt) spreading amongst investors.

Key Points: Fantom Foundation has provided reassurance to FTM token holders, addressing concerns related to Multichain's issues. The foundation stated that FTM tokens, including those on wFTM, FTM ERC-20, and Opera, have never been released or managed by Multichain, ensuring their immunity from any potential impact.

On Thursday, July 6, the multichain bridge witnessed abnormally large outflows in what seems to be a multi-million dollar exploit of the platform. A few hours later, Multichain protocol announced that they have suspended the operations.

LayerZero Labs introduces USDC, USDT, WETH, and WBTC to Fantom with support from the ecosystem, bringing stability and longevity for projects, bridging available via Stargate Finance.

Binance, the leading cryptocurrency exchange, recently temporarily stopped processing withdrawals and deposits for several Multichain-bridged assets. In a Twitter post, the platform stated that these restrictions would take effect from the 7th of this month and remain in place for the foreseeable future.