After customers complained about their funds being stolen, Solana, a blockchain that is growing in popularity for its quick transactions, became the subject of the most recent breach in the cryptocurrency world.
The platform has launched an inquiry and is currently attempting to ascertain how the hackers were able to steal the money.
What is SOL?
The value of Solana's stake, dropped by 7% to $38.4 in the past day, marking its lowest level in a week.
Solana is an open-source project that relies on the permissionlessness of blockchain technology to offer decentralized financial (DeFi) solutions. According to CoinGecko, end-user applications in the Solana ecosystem include non-fungible tokens (NFT), marketplaces, gaming, e-commerce, and decentralized finance (DeFi).
According to CoinGecko, Solana is one of the top 10 cryptocurrency assets in terms of market value, although its value has fallen significantly from its all-time high of $259.96 reached in November 2021.
The primary reason for the breach
The security problem appears to have affected more than 8,000 wallets, depleting them of their SOL tokens and USDC stablecoins, according to Changpeng Zhao, CEO of cryptocurrency exchange Binance.
A blockchain consulting firm called Elliptic stated that the attack started on August 2 and has already resulted in the data theft of $5.8 million for its clients. The Solana cryptocurrency, and non-fungible tokens, as per the report, were among the stolen goods.
Elliptic noted that the issue didn't seem to be with the blockchain core, the digital ledger of transactions that serves as the foundation of cryptocurrency assets, but rather with software utilized by such wallets.
Phantom, Slope, and TrustWallet are among the other wallets that have been compromised by the hack.
Several blockchain security experts believe that a supply chain attack, a browser zero-day vulnerability, or a flawed random number generator used during the key generation process might have been leveraged to access such a huge number of private keys.
