Harmony Protocol Hacked, 4B Tokens Minted, 2.8B Laundered via Exchanges

• Harmony (ONE) was hacked, and the hacker minted 4 billion ONE tokens.
• They managed to siphon off 2.8 billion, laundering the majority of the minted tokens via several exchanges.
• ONE’s price crashed by 37% over the next couple of hours.

Harmony Protocol Hacked by Unauthorized Minting

A hacker has exploited Harmony Protocol and has minted 4 billion ONE tokens representing 26% of the total token supply. The hacker also managed to funnel 2.8 billion of the tokens via various exchanges, causing the token price to crash 37% within the first couple of hours of the hack.

How did the hack take place?

A minting hack usually occurs by exploiting a bug in the token smart contract, accessed through methods including but not limited to phishing, keylogging, and physical access to private key hardware. Most of these attacks require a human error, such as in the Bybit Exchange hack.

We will update the data as soon as new information arrives.

Token Crashes 37%

ONE has crashed 37% within the first few hours of the hack as users began to sell their tokens in fear of a price crash.

Why did ONE crash?

Usually, an excessive mint of any token, as in this case, crashes the token price very soon (in hours) due to excessive supply. In the current case, this excess supply represents 26% of the total circulating supply before the hack. This excess supply disbalances the demand-supply equation, resulting in a price crash.

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