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Breach at AirDAO: Hackers Drain 35.2 Million AMB and 125.51 ETH

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Layer-1 blockchain, AirDAO reported that it suffered a hack that led to losses of 35.2 million AMB and 125.51 ETH. It added that the hacker drained all of the funds from its Uniswap Pool.

Hackers Spread Loot

The threat actors sent the cryptocurrencies to several exchanges to confuse trackers and cover their tracks. Peckshield found they transferred them to trading platforms like MEXC, KuCoin and ChangeNOW. Per on-chain data, Binance and BitMart also received part of the loot.

AirDAO team found that the hackers gained access to the pool via a sophisticated social engineering scam. The project failed to provide further details on who the scam affected or how the hacker penetrated the system. Nonetheless, it said that a staff clicked a malicious attachment from an email posing as one of its partners.

Commenting on the hack, the firm said “They obtained access to the LP using a social engineering scam with malicious attachments in an email presenting to be one of our known partners.”

In a bid to recover all the funds it lost, it is collaborating with cryptocurrency exchanges to track and freeze all of the hackers’ loot. AirDAO is also involving the general cybersecurity community as it promises to reward anyone who helps recover the assets 10% of the total worth.

It added that it will also offer the threat actor 10% if they return the loot. However, the project is in talks with law enforcement to ensure the return of these valuables.

AirDAO to Send Liquidity to its Uniswap Pool

To cushion the effects of the exploits, AirDAO promised to return liquidity to the pool.

“Additional liquidity will be added back to the uniswap LP as soon as possible and the worst of the situation is over,” they said.

Besides that, in contrast to expectations, the hack had little or no effect on AMB token which is the native currency of AirDAO ecosystem. Reports have it that it gained more than 6% despite the hack.