Blockchain Network Bittensor (TAO) Hacked, Resulting in $7.2M Loss
On July 3, 2024, the Bittensor (TAO) cryptocurrency blockchain network experienced a serious failure due to a hacker attack, resulting in significant amounts of digital assets being stolen. In light of this incident, the network was halted, and currently the blockchain operations are paused until further information about the incident is obtained.
Investigation Ongoing, Network Operations Temporarily Suspended
The Bittensor server administrator stated on Discord: «We are conducting a thorough investigation of the incident and have temporarily suspended network operations to ensure security. This is being done to prevent further losses and to analyze all the details of the hack.» The last block was added to the Bittensor blockchain on July 3 at 02:21 Moscow time, meaning the system has been non-operational for over four hours. At the moment, there is no exact information on when the network will resume operations.
Hackers Gain Access to Wallets, Steal $7.2M in TAO
According to blockchain analyst ZachXBT, the hackers gained access to wallets containing Bittensor coins due to a leak of private keys. This allowed them to steal 32,000 TAO, which is currently equivalent to $7.2 million. Additionally, a blogger known by the pseudonym Neural Bond Connery reported that several blockchain validators were affected by the attack.
Price of Bittensor Cryptocurrency Plunges by 12%
The hacker attack and subsequent network shutdown led to a sharp drop in the price of the Bittensor cryptocurrency. The token price fell by 12% in response to the news of the attack. The cryptocurrency continues to decline, with no signs of recovery yet. This may indicate that the coin could further depreciate, as the market reacts to instability and uncertainty.
Investors and Analysts Concerned About Future Security of Digital Assets
The drop in the price of the Bittensor cryptocurrency after the attack has drawn attention from investors and analysts, raising questions about the future security of digital assets and the possibilities of recovery after such incidents.
