The post HLG Token Surges 62% Following Arrests in Holograph Hack Investigation appeared on BitcoinEthereumNews.com.

Authorities have made progress in the investigation of a multi-million dollar hack on the omnichain tokenization platform Holograph. The collaborative effort by multiple European law enforcement agencies has resulted in the arrest of two suspects. Significant assets and electronic devices were seized during the arrests, shedding light on the details of the attack. French authorities arrest suspects linked to the Holograph hack, marking significant progress in the ongoing investigation. The Holograph Hack Incident On June 13, a critical vulnerability in Holograph’s operator contract was exploited, resulting in the unauthorized minting of 1 billion HLG tokens, which were valued at $14.4 million. The malicious actor swiftly converted these tokens into Tether (USDT) and absconded with the stablecoins within hours. This exploit was meticulously planned, as on-chain analysts discovered that the wallet used for receiving the minted tokens was funded 26 days before the hack occurred. Arrests and Seized Assets Following the attack, Holograph promptly notified law enforcement agencies. Joint efforts by the Italian Directorate of Anti-Mafia Investigations, Europol, France’s Office for the Prevention of Cybercrime, and the Paris Search and Intervention Brigade culminated in the arrest of two individuals residing in Italy. These men, both in their thirties, were apprehended on August 9 and are awaiting extradition to France to face related charges. Authorities have refrained from disclosing their identities to safeguard ongoing investigations. During the arrest, significant assets and electronic devices were confiscated, which could provide further insights into the hack. Market Reaction and Token Recovery The Holograph hack had a severe impact on the HLG token’s value. Within the first ten hours post-attack, the token’s price plummeted by almost 80%, from $0.014 to $0.0029, which led to a drastic reduction in its market capitalization, going from $22 million to $4.8 million. Despite this initial downturn, recent developments have provided…

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Filed under: News - @ August 17, 2024 5:21 pm