Singapore Court Orders Multichain to Compensate Fantom Foundation for $2.18 Million Hack Loss
The post Singapore Court Orders Multichain to Compensate Fantom Foundation for $2.18 Million Hack Loss appeared on BitcoinEthereumNews.com.
TLDR The Singapore High Court has ordered Multichain Foundation to pay $2.18 million in compensation to the Fantom Foundation for losses incurred in a 2023 hack. The hack resulted in over $210 million worth of cryptocurrency assets lost from multiple chains. Fantom secured a default judgment against Multichain on Jan. 30, 2024, and has been pushing for Multichain’s liquidation to recover lost funds. The court found that Multichain’s CEO, Zhaojun He, had complete control over the assets, contrary to claims of decentralization. The High Court of Singapore has ordered the Multichain Foundation to pay $2.18 million in compensation to the Fantom Foundation for losses incurred during a major cryptocurrency hack in July 2023. This decision, made by Judicial Commissioner Mohamed Faizal, marks a significant development in the ongoing saga of one of the largest crypto exploits in recent years. The hack, which occurred on July 6, 2023, resulted in the loss of over $210 million worth of cryptocurrency assets from multiple chains, including Ethereum, BNB, Cronos, Polygon, Arbitrum, zkSync, Optimism, and Moonbeam. The Fantom Foundation, which operates the Fantom blockchain, was among the victims of this large-scale exploit. Following the incident, Fantom took legal action against Multichain, securing a default judgment on January 30, 2024. Since then, the Foundation has been actively pursuing the liquidation of Multichain Foundation to recover its lost funds. The recent court ruling is a crucial step in this direction. Fantom Foundation Update on Judgment Against Multichain. ???? https://t.co/Pi5RXJmhNW pic.twitter.com/ooseYW0NC2 — Fantom Foundation (@FantomFDN) July 8, 2024 During a June 3 hearing, Fantom presented evidence supporting its claims. A key argument was that the losses were due to Multichain’s CEO, Zhaojun He, having complete control “over the cryptocurrency assets stored in the Multichain Bridge.” This revelation contradicted Multichain’s previous claims of decentralization, a principle that many…
Filed under: News - @ July 9, 2024 7:08 pm