Wednesday, May 29, 2024

Private key compromise prompts crypto CEOs to ask SOL investors to move holdings.

The ongoing multi-million dollar hack in the Solana network has prompted crypto CEOs, including Binance’s Changpeng Zhao, KuCoin’s Johnny Lyu, and OKX’s Jay Hao, to urge SOL investors to move their holdings to the respective exchanges as an immediate security measure.

An alleged widespread private key compromise resulted in a hacker exploiting SOL tokens, Solana-compatible SPL tokens like USDC from Phantom and Slope wallets. Both wallets have rejected security vulnerabilities at their end. Phantom said it’s working closely with other teams to get to the bottom of a reported vulnerability in the Solana ecosystem. It doesn’t see it as a Phantom-specific issue.

CZ has warned investors about an active security incident on Solana that drained funds in SOL and USDC off over 7,000 wallets. He suggested investors, those who haven’t been hacked, transfer their assets to a cold wallet or Binance. KuCoin’s Lyu also gave similar advice and said all SOL assets “were not” impacted by the hack. He said KuCoin is in close contact with the Solana team and has blocked the suspicious addresses. Hao also urged investors to move their assets to OKX to protect themselves from the hack.

Meanwhile, Bybit has suspended all deposits and withdrawals of assets on the Solana blockchain. Audius has also recorded the unauthorized transfer of AUDIO tokens from the community treasury. Roneil Rumburg, co-founder and CEO of Audius, said no members of the community were involved. He clarified that it was an exploit and not a proposal proposed or passed through any legitimate means. Rumburg said the hacker used the governance system as the entry point for the attack.

Cryptured Team
Cryptured Team
The writers team at is composed of passionate and experienced journalists who cover the latest developments in the crypto and blockchain space. They aim to provide accurate, unbiased and easy-to-understand news and information for their readers, as well as insights and analysis from industry experts. The writers team is always on the lookout for new and exciting stories that can help the general public learn more about the potential and challenges of these technologies.

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