The Multichain MPC bridge platform has experienced unusually big outflows, raising concerns of a possible exploit worth over $100 million.
All Users Are Recommended to Stop Using Multichain Services and Revoke All Contract Approvals
The Multichain MPC bridge platform has experienced unusually big outflows, raising concerns of a possible exploit worth over $100 million.
On July 6, crypto assets worth almost $102 million were taken out of Multichain's Fantom bridge on the Ethereum side, while additional sums were taken out of Dogecoin and Moonriver bridge. The Multichain team was mentioned by blockchain security company Peckshield in a post showcasing the Fantom bridge transactions, prompting observers to categorize the incident as a potential exploit.
The Multichain team has acknowledged that the movements were abnormal and said:
“The team is not sure what happened and is currently investigating.”
All users are recommended to stop using Multichain services and revoke all contract approvals.
Multichain is a multi-party computation (MPC) bridge network that mints derivative assets on the second chain after verifying that assets have been locked on the first chain. The network asserts that the cryptographic keys controlling this procedure are divided into numerous shards and distributed around the system, prohibiting any one individual or entity from making unauthorized withdrawals.
Nevertheless, during the past few weeks, the platform has been dealing with unidentified technical issues, resulting in slow transaction processing and Binance pausing withdrawals of various Multichain derivative tokens.
