Gala Games Suffers $214 Million Hack Through Minting of Unauthorized GALA Tokens – Here’s What Happened Next
Gala Games has fallen victim to a security breach that resulted in the unauthorized minting and selling of a substantial amount of its native token, GALA. According to Lookonchain, the hacker managed to mint 5 billion GALA tokens, worth approximately $214 million at the time of the exploit.
What you'll learn 👉
Rapid Dumping and Blacklisting
The attacker wasted no time in capitalizing on the illegally obtained tokens, quickly dumping 592 million GALA tokens on the market in exchange for 5,952 ETH, valued at around $21.8 million.
However, Gala Games swiftly noticed the exploitation and took decisive action by blacklisting the hacker’s address, effectively preventing any further selling of the compromised tokens.
Gala Games’ Response and Investigation
In an official statement released on X, Gala Games confirmed that the security incident involving the GALA token had been contained and that the impacted wallet had been frozen. The company emphasized that this was an isolated incident and that the underlying cause had been addressed.
Gala Games is now working closely with law enforcement agencies, including the FBI and DOJ, as well as a network of international authorities, to investigate the individuals behind the breach. The company remains committed to maintaining the highest standards of security and transparency and has pledged to provide updates as the investigation progresses.
Doge2014 raises 500K in days celebrating Dogecoin. Make potentially big profits and get in on exclusive airdrop!
Show more +Internal Controls and Community Decision
Benefactor, a representative of Gala Games, acknowledged the company’s responsibility in the incident, stating that they had “messed up” their internal controls. The company is taking steps to ensure that such an incident does not occur again in the future.
It is important to note that the Ethereum contract for GALA tokens remains secure and under the protection of a multi-sig wallet, which was never compromised during the exploit.
However, the incident has raised concerns about the daily distribution of GALA tokens, and Gala Games has announced that a node vote will be held to determine how to handle this issue. As with previous decisions, the community will have the final say on how to proceed.
Despite the setback, Gala Games remains optimistic about the future, with Benefactor stating, “Can’t stop…won’t stop! Moving on to bigger and better things.” The company’s resilience and commitment to its community are evident in its swift response to the incident and its determination to learn from the experience and strengthen its security measures.
Read more: Lido DAO (LDO) and PYTH Prices Are Pumping – Here’s Why
Follow us on X (Twitter), CoinMarketCap and Binance Square for more daily crypto updates.
Get all our future calls by joining our FREE Telegram group.
We recommend eToro
Wide range of assets: cryptocurrencies alongside other investment products such as stocks and ETFs.
Copy trading: allows users to copy the trades of leading traders, for free.
User-friendly: eToro’s web-based platform and mobile app are user-friendly and easy to navigate.
We recommend eToro
Wide range of assets: cryptocurrencies alongside other investment products such as stocks and ETFs.
Copy trading: allows users to copy the trades of leading traders, for free.
User-friendly: eToro’s web-based platform and mobile app are user-friendly and easy to navigate.
