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Hyperliquid Refutes $700K DPRK Exploit, HYPE Token Rebounds
In a shocking turn of events, Hyperliquid Labs has issued a statement denying allegations of security vulnerabilities and exploitation by North Korean hackers. The news comes as the crypto community reels from reports of suspicious activity on the protocol.
Rumors began circulating that wallets linked to North Korean hackers had been using the platform for trading, resulting in significant losses totalling over $700,000. This sparked widespread panic among users, leading to a mass withdrawal of funds, with over $194 million in USDC being removed from the protocol on Monday alone.
This dramatic exodus led to a corresponding 25% drop in the price of Hyperliquid’s native token, HYPE, which plummeted from $34 to $25. However, in response to these allegations, Hyperliquid Labs has vehemently denied any wrongdoing or security breaches, assuring users that all funds remain accounted for and there is no vulnerability.
“We are aware of reports circulating regarding activity by supposed DPRK addresses,” the statement began. “There has been no DPRK exploit – or any exploit for that matter – of Hyperliquid. All user funds are accounted for. Hyperliquid Labs takes opsec seriously. No vulnerabilities have been found, and we assure users that their assets are safe.”
Following this clarification from the protocol, the HYPE token price began to recover, rebounding from a low of $25 to $27.
The controversy has sent shockwaves through the crypto community, with some experts questioning the authenticity of the reports. As news continues to unfold, it remains to be seen whether the market will continue its upward trajectory or if there will be further fallout.
Source: www.cryptonewsz.com
