Magic Eden, a platform for buying and selling non-fungible tokens (NFT), vowed to refund money to victims of fraudulent purchases.
A Thursday statement revealed an exploit in its Activity Indexer for the platform’s Pro Trade and Snappy Marketplace tools. Some users trading on the services bought fake NFTs from the fraudulent exploit, which circumvented verification processes.
The following day, Magic Eden revealed users purchased 13 fraudulent NFTs on five collections in 27 transactions, totalling 1,100 Solana or roughly $15,000.
The company tweeted concerns on the fake NFTs on Wednesday. Scammers hit sales from two major Solana-based collections y00ts and ABC, with Magic Eden raising concerns on the latter.
It added: “Please hard refresh your browsers to make sure you are only seeing verified collection items. We’re monitoring the situation & will use this thread for updates.”
The platform concluded after resolving the incident that it was “safe for trading” and that users could no longer buy unverified NFTs on its platform.
It added: “Over the last day, the issue was contained to 25 unverified NFTs in 4 collections. We are confirming impact beyond the last 24h.”
2023 ‘Hack Jobs’ Set to Hit Crypto Market
The news comes after hackers struck the website with pornographic photos and pictures from The Big Bang Theory, triggering Magic Eden to issue a statement on the “unsavory images.”
Additional hacks have taken place on Binance and hot wallet hacks on Derebit, among others, leading to a tightening of cybersecurity protocols and responses to protect crypto investors.
2023 is expected to be a major year for cybersecurity threats and breaches, prompting crypto platforms to remain vigilant, analyses from a CertiK report revealed this week.
