Orbit Chain, a multi-asset blockchain headquartered in South Korea, witnessed a significant downturn, with its native coin, Orbit Chain (ORC), plummeting by as much as 21% in response to news of an exploit just hours before the new year.
Concerns arose as the Orbit Chain cross-chain bridge came under suspicion of being compromised, resulting in a substantial loss of $81.5 million. The exploit unfolded through five separate transactions where Orbit Bridge transferred 30 million Tether, 10 million DAI, 10 million USDC, 231 wBTC, and 9,500 ETH to a new wallet.
The Orbit Chain cross-chain bridge was suspected of being hacked, resulting in a loss of $81.5 million. In five separate transactions, Orbit Bridge sent 30 million Tether, 10 million DAI and 10 million USDC, 231 wBTC and 9,500 ETH to a new wallet. https://t.co/iMhYbiuEfi
— Wu Blockchain (@WuBlockchain) January 1, 2024
A statement from Chainlight on X underscored the severity of the situation: “On December 31, 2023, at 9:07:59 PM UTC, an unauthorized transaction was detected in the @Orbit_Chain Ethereum L1 Vault, involving assets like DAI, USDC, USDT, ETH, WBTC. We are actively investigating this issue.”
$ORC Price Action To Watch
In response to the breach, the project took immediate action, suspending the cross-chain bridge contract and initiating a comprehensive investigation into the incident. The $ORC token experienced a significant drop from $0.07 to $0.05 within the past 24 hours, reflecting the impact of the exploit on market sentiment and investor confidence.
1/ In response to a request from @Orbit_Chain, ChainLight is conducting a comprehensive analysis of the issue. Our efforts are focused on identifying the root cause and tracking the impacted assets. Collaboration with law enforcement is underway to ensure a thorough resolution.
— ChainLight (@ChainLight_io) January 1, 2024
This incident sheds light on the ongoing challenges faced by blockchain projects in safeguarding their platforms against unauthorized activities. The team at Orbit Chain remains committed to addressing the breach, implementing necessary security enhancements, and restoring trust within their community.
The decline in the $ORC token’s value emphasizes the real-time consequences of security breaches in the cryptocurrency market.
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any projects.
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