Decentralized crypto exchange ApolloX was reportedly exploited on June 8, as the platform said the hacker found a loophole in the platform’s trading rewards contract.
The incident came to light when the DEX disabled the withdrawal feature only to resume later Wednesday.
ApolloX Exploit Details
According ApolloXthe bad actor managed to accumulate 255 signatures, which resulted in the withdrawal of 53 million APX tokens from the withdrawal contract.
At the time of the attack, the value of the stolen tokens was around $2.1 million. At the time of writing, ApolloX was down over 11% in the past 24 hours according to data from CoinMarketCap.
That said, no losses are attributed to user funds.
But due to the flaw in the exchange smart contract, “the ApolloX team also made an emergency buyback of 12,748,585 APX tokens” after the hack, worth $600,000. The platform also assured that “lost tokens will be compensated via APX earned through exchange trading fees”.
The incident also followed ApolloX announcing seed funding from investors including Binance Labs and Kronos Research. The DEX obtained an outstanding amount in strategic investment to further expand into the Web3 vertical.
ApolloX Captain, Founder of ApolloX, noted, “Decentralized finance is increasingly eating into the market share of centralized finance. Protocols are rapidly innovating in this competitive space as users demand more control, value, and accessibility. »
That said, ApolloX also believed that “the future of DAO would eliminate centralized leadership and empower the next generation of protocols.”
Meanwhile, the exchange has a total locked value (TVL) of $12.4 million on DeFiLlama. On the technical side, InvestorsObserver analyzed that ApolloX could maintain a low short-term technical score of 4 with “recent price movement suggesting more bearish signals for traders”.
Threats amid soaring craze
In a report recently released by the Federal Trade Commission (FTC), since the start of 2021, over 46,000 people have lost over $1 billion worth of crypto to scams.
Meanwhile, another report from the Australian Competition and Consumer Commission (ACCC) pointed out that Australians have lost more than A$113 million or $81.5 million to internet-related scams. cryptography between January 1 and May 1, 2022.
Anne Boden, the founder of a Goldman Sachs-backed digital bank, Starling, called crypto “dangerous.” Boden said, “A lot of [crypto] wallets are directly connected to payment systems. It is a threat to the security of our payment systems worldwide.
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Hacker Exploits ApolloX Exchange; Here’s What Led To The Loss Of 53 Million APX Tokens
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