UXLINK Hacked: The Truth Behind $11.3M Loss and Price Plunge

In late September, the crypto market was once again rocked by a major security incident, as the social trading protocol UXLINK was hit by a Hacker attack, resulting in direct losses exceeding $11.3 million. This news instantly drew widespread attention from the community, as it not only involved the safety of funds but also concerned millions of token holders.

Review of the UXLINK Hacker Attack Incident

According to news from the on-chain security monitoring platform, hackers used the deleGateCall operation to delete the administrator permissions of the contract and tampered with the multi-signature mechanism. After taking control of the contract, the hackers quickly called addOwnerWithThreshold to gain complete control, and then transferred various assets including USDT, USDC, WBTC, and ETH.

How hackers exploit vulnerabilities to transfer assets

The hacker did not stop at transferring funds, but also used a cross-chain bridge to exchange some funds for DAI and bridge them back to the Ethereum mainnet. Such operations increase the difficulty of tracking and freezing, and also indicate that the attacker is experienced and skilled.

The risk of malicious issuance of UXLINK tokens

Worse still, the attacker maliciously minted 1 billion UXLINK tokens on the Arbitrum chain. This directly caused an imbalance in the total token supply, triggering market panic, and the price once fell by more than 70%. For investors, this “dilution” effect not only damages the value of their holdings but also severely impacts the market trust in UXLINK.

Market reaction: Price big dump and exchange warnings

Figure:https://www.gate.com/trade/UXLINK_USDT

The secondary market reacted violently to the news, with token prices experiencing a big dump, and market sentiment is extremely cautious in the short term.

Official response and follow-up measures

In the face of a sudden crisis, the UXLINK official quickly confirmed the incident and announced that a token swap would be carried out to rectify the anomalies caused by the contract’s excessive issuance. At the same time, the team is collaborating with multiple security companies to attempt to freeze some suspicious funds and has promised to develop a compensation plan for affected users.

How should investors respond?

For ordinary investors, the most important thing right now is to avoid interacting with the UXLINK contract, especially not to authorize or deposit. In addition, they should stay alert to official announcements and beware of phishing scams. At the same time, investors need to assess their holding risks and consider whether to diversify their assets to avoid potential losses from a single token.

Summary

The UX LINK hacker incident once again reminds the market that the security of blockchain projects is crucial. Whether trust can be rebuilt in the future will depend on the implementation of the official compensation plan and the real establishment of security measures.