The play-and-own cellular gaming platform GAMEE suffered an exploit of its GMEE token contracts on Polygon that led to the theft of 600 million GMEE tokens and left the crypto group pondering questions.
GAMEE Confirms $15M Exploit On Polygon
On January 22, GAMEE Token’s official X (previously Twitter) account suggested its customers to chorus from partaking with the digital asset whereas their crew investigated the GMEE token-related safety comprise it had simply suffered.
The GMEE token is an ERC-20 utility token “designed to be the foreign money of entry, motion, and governance throughout the GAMEE ecosystem,” as their web site states.
🚨 $GMEE | URGENT
There was a safety incident involving the GMEE token. As a precautionary measure, we advise all customers to chorus from partaking with $GMEE till additional discover.
Our crew is actively investigating the scenario, and updates shall be offered quickly.
— GMEE Token (@GAMEEToken) January 22, 2024
Earlier than the official announcement, crypto customers rapidly observed the token’s sudden value crash and the transactions behind it. This left GAMEE customers and the final crypto group questioning if an exploit had occurred.
Within the early hours of January 23, GAMEE’s crew returned to the X platform to clarify what occurred and the steps to come back.
The thread explains that their preliminary investigation indicated that the GMEE token contracts on Polygon had been compromised through unauthorized GitLab entry.
This compromise resulted within the theft of 600 million GMEE tokens price roughly $15.28 million on the time of the exploit. The compromised tokens had been instantly transformed to ETH and MATIC and exchanged through numerous decentralized exchanges (DEXs) within the following hours, drastically impacting the GMEE token value.
The crew behind GAMEE defined that after noticing the Polygon GMEE deployer handle was compromised, they secured the token contract possession and all related contracts by transferring possession to a “new safe handle.”
The crew additionally clarified that solely proprietary crew token reserves had been affected, and the exploit didn’t have an effect on belongings owned by the group, as “GAMEE doesn’t custody or handle any community-owned belongings.”
GAMEE expressed its understanding of how the impression of the unauthorized transactions may have affected the GAMEE group, because it led to cost volatility and restricted use of the GMEE token whereas investigations had been happening.
The following steps for GAMEE will encompass an impacted consumer identification course of to judge one of the simplest ways to assist the affected a part of the group. Moreover, they plan to offer a real-time replace on the main points that additional investigations will present as an effort to maintain belief and transparency.
Lastly, the consumer was suggested to train warning “given the risky market circumstances and potential liquidity impacts pushed by CEX measures.”
GMEE’s Violent Value Drop
Across the time of the exploit, the GMEE token had been buying and selling at $0.02554112, in response to CoinGecko’s knowledge, and it had been beforehand sitting on the $0.027-$0.026 vary all through the weekend.
Shortly after the exploit, the prince crashed to $0.01155577, reaching its lowest level of $0.00897251 within the early hours of immediately.
It’s price noting that many noticed the worth crash as a probably once-in-a-lifetime alternative to revenue. Varied customers shared that that they had purchased the dip and even suggested others to do it. One X consumer mentioned, “One man’s trash is one other man’s treasure.”
At writing time, the GMEE token trades at $0.016999, a 31.5% decline within the final 24 hours.
GAMEE is at present buying and selling at $0.016999 within the hourly chat. Supply: GMEEUSDT on TradingView.com
Featured Picture from Unsplash.com, Chart from TradingView.com
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