ChainSwap to Airdrop Compensation Tokens After $8M Hack

ChainSwap will airdrop some governance tokens as compensation to holders. The airdrop comes in the wake of an $8 million hack.

The platform will distribute the compensation tokens according to holders’ balances before the hack. Of note, the project will replace assets users held on BSC and Huobi on the Ethereum mainnet.

Also, ChainSwap revealed that the project liquidated 717,200 ASAP worth about $150,000 from its treasury to fund compensations. The platform has already compensated its affected partner projects and stablecoins in its team fund.

Notably, the cross-chain asset bridge lost $8 million in a hack earlier this month. Also, this was the second hack the project has fallen victim to. First, the platform lost about $800,000 in a hack attack on July 2.

After that, ChainSwap also lost more assets on July 10 after hackers siphoned over 20 different assets. The hackers siphoned the assets from the platform’s liquidity pool partner exchanges by exploiting a weakness in the cross-chain bridge.

Of note, the ChainSwap bridge supports Ethereum, Polygon, and Binance Smart Chain (BSC) networks. Also, the hack negatively affected several tokens. Specifically, ChainSwap’s native token ASAP fell by 99% after the second incident. In addition, the hack also affected Nord, Razor, Antimatter, and Ora tokens.

However, NFT project Wilder World was one of the worst affected projects. The hacker managed to mint millions of its native WILD token. After that, the hacker managed to offload the tokens for about $207,000. In turn, this caused the token to tumbled by more than 99%. Also, the hacker got away with about two million WILD which sold for about $327,000.

However, the platform managed to suspend its bridge and burned the siphoned ASAP tokens in the hacker’s wallet. Also, ChainSwap withdrew liquidity from providers’ funds on Uniswap. ChainSwap is also conducting code testing, bug bounty programs, and third-party audits. In fact, the platform is in talks with several audit firms to conduct a “deep audit” of the platform and future upgrades.

Source: https://coinquora.com/chainswap-to-airdrop-compensation-tokens-after-8m-hack/