The BNB Chain DeFi protocol LaunchZone claims that $700,000 worth of assets have been stolen and that an attacker has used a vulnerability to do so.
Once the LaunchZone liquidity pool was emptied of more than 80% of its cash on February 27, information is still lacking. Users were admonished not to purchase tokens before additional information was obtained in a message posted to the project’s official Telegram group:
“$LZ is being hacked from DND exploiter. The team is handling the situation, please don’t buy the token at this stage. Please keep calm. We will update timely (sic).”
According to blockchain statistics from several blockchain explorers, the value of LaunchZone’s native token $LZ, decreased by more than 80% when money was transferred through PancakeSwap.
Almost 44,000 people subscribe to LaunchZone’s Telegram channel, and the company has over 275,000 Twitter followers.
Throughout the past year, hacking and vulnerabilities have been a problem for the BNB Chain ecosystem. In October 2022, a $100 million scam that targeted the BNB Chain itself led to a hard fork. Attackers had used a cross-chain vulnerability.
Jump Crypto, a Web3 company also discovered and informed the BNB Chain team of a significant vulnerability in February 2023. Via fraudulent transfers, the hack may have enabled an attacker to create an infinite supply of tokens. Before being made public, the BNB team fixed the issue.