Harmony blockchain loses $100m in exploit

Harmony blockchain loses $100m in exploit

Harmony blockchain loses $100m in exploit

U.S. crypto firm Harmony said on Friday that thieves stole around $100 million worth of digital coins from one of its key products, the latest in a string of cyber heists on a sector long targeted by hackers.

Harmony has developed a blockchain that specialises in uniting different chains through scaling and interoperability solutions, developing blockchain games and launching NFTs.

The California-based company said the heist hit its Horizon "bridge", a tool for transferring crypto between different blockchains - the underlying software used by digital tokens such as bitcoin and ether.

Thefts have long plagued companies in the crypto sector, with blockchain bridges increasingly targeted. Over $1 billion has been stolen from bridges so far in 2022, according to London-based blockchain analytics firm Elliptic.

Harmony tweeted that it was "working with national authorities and forensic specialists to identify the culprit and retrieve the stolen funds", without giving further details.

It also offered a $1 million dollar bounty for valuable information about the exploit.

It did not immediately respond to requests for comment sent via email and social media.

Elliptic, which tracks publicly visible blockchain data, said the hackers stole a number of different cryptocurrencies from Harmony, including Ether, Tether, BNB and USD Coin, which they later swapped for Ether using decentralized exchanges.

In March, hackers stole around $615 million worth of cryptocurrency from the Ronin Bridge, used to transfer crypto in and out of the game Axie Infinity. The United States linked North Korean hackers to the theft.

(Reporting by Elizabeth Howcroft and Tom Wilson; Editing by Alison Williams and Samuel Sherwood)

This content is for informational purposes only and is not investment advice. You should consult a qualified licensed advisor before engaging in any transaction.

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