Unleash Protocol Faces $3.9 Million Heist Amid Security Breach Translation: Unleash Protocol Faces $3.9 Million Heist Amid Security Breach

The DeFi project Unleash Protocol suffered a loss of approximately $3.9 million due to a hacking incident, as reported by analysts from PeckShield.

The attacker siphoned off assets, converted them, and transferred them into Ethereum. Later, they sent 1337.1 ETH to the cryptocurrency mixer Tornado Cash.

The Unleash Protocol team has confirmed the breach. Among the stolen tokens are WIP, USDC, WETH, stIP, and vIP.

Preliminary investigations suggest that the perpetrator gained access to the admin’s multisig wallet. This allowed them to perform an unauthorized update on the smart contract and withdraw user funds.

The developers have temporarily halted all services of the Unleash Protocol. The team is collaborating with cybersecurity experts to determine the specifics of the incident.

Project representatives also noted that the infrastructure of the Story Protocol network, which supports their application, remained unaffected.

Unleash Protocol is a decentralized platform designed for managing intellectual property. The project provides tools for registering, licensing, and trading tokenized content rights.

It is worth mentioning that on December 27, the token FLOW dropped 40% following the $3.9 million hacking incident.