When the Wallet Was Compromised

On September 29, Fusion Foundation dropped a bombshell: their token swap wallet had been hacked. A staggering one-third of FSN tokens vanished into the ether, amounting to a theft of around $6.4 million. It sounds like a plot twist from a heist movie, but unfortunately, this was reality for the Fusion community.

Details of the Theft

The initial investigation revealed that a whopping 10 million native FSN tokens and 3.5 million Ethereum-based ERC-20 FSN tokens were snatched by the cybercriminal. Fusion Foundation asserted in their Medium post that while the wallet’s private key was compromised, their protocol remains secure. So, while the wallet may be singing the blues, the underlying technology is still dancing!

How Did They Do It?

In what can only be described as the worst case of digital sleight of hand, the thief pulled off the heist by stealing the private key associated with the swap wallet. The immediate aftermath saw a bizarre trend of wash trading, where the stolen tokens began to surface on exchanges like Bitmax and Hotbit. It’s as if they were auditioning for a secondary role in the cyber underworld!

Actions Taken Post-Crime

The Foundation wasted no time in mitigating the fallout. To combat the laundering of the stolen funds, they temporarily halted FSN token transactions on several exchanges including Huobi, OKEx, Bitmax, Citex, and Hotbit. All remaining funds from the compromised wallet were swiftly transferred to a cold wallet. Talk about thinking on your feet!

What Lies Ahead for FSN?

As this chaotic saga unfolds, FSN token has seen its value dip significantly, trading around $0.174 — which is over a jaw-dropping 66% loss compared to the previous day. The community is left holding its breath, hopeful that with ongoing technological developments, the stolen funds may one day reappear. It seems there’s a lot to fix, but if they can outwit the bad actors, perhaps FSN will bounce back stronger than ever!