-94%: these cryptocurrencies collapsed after hacking the Nomad project

The nightmare continues! – The Nomad decentralized bridging protocol was the target of an attack that led to the Loss of $ 190 million. While some of the funds are returned, others projects now pay the broken pots.

Collateral victims of hacking Nomad

On August 3, two days after the attack that hit the Nomad protocol, the teams of The best brokers published an audit report of some attack metrics.

This report makes it possible in particular to retrace the course of the attack. This started on August 1st, with 4 transactions consuming 100 BTC each. Subsequently, other transactions came to drain everything 1,028 BTC kept in protocol pools. The attackers then turned to ETH pools, by subtracting 22,880 ETH deposited on Nomad.

After ETH, the latter attacked stablecoins. Therefore, the hackers stole the equivalent of $ 107 million in various stablecoins.

Once the main cryptocurrencies have been stolen, it’s the turn of the various ones altcoin supported by the protocol by being targeted by the attack. Unsurprisingly, these came quickly resold on public markets, resulting in great their prices drop.

Five altcoins particularly suffered this attack, registering drops often colossal in their course:

  • CARD.STARTER (CARDS) with a decrease of 75%;
  • Charli3 (C3) with an overwhelming 94% drop;
  • Covalent (CQT) with a decrease of 56%;
  • IAGON (IAG) with a decrease of 89%;
  • GeroWallet (GERO) with a drop of 20%.
The altcoins with the highest price drop after the attack.

As the chart above shows, most of these cryptocurrencies have failed to recover from the significant drop they have experienced.

“When such large falls occur, the road back is too difficult for most of the affected assets. Although cryptocurrencies are volatile and cannot simply be wiped off the map, coins that have suffered the most from this hack will most likely struggle to return to previous levels. “

Alan Goldberg, BestBrokers analyst.

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A complicated recovery for the crypto project

For its part, Nomad will have a hard time bouncing back from this attack. The 190 million dollars stolen, in fact, represented the almost all funds deposited on the protocol.

Fortunately, some whitehats managed to secure part of the funds and gradually begin to restore them. In fact, the address prepared by Nomad for to retrieve funds now stand at $ 16.8 million.

A figure that remains far from the 190 million stolen during this first decentralized robbery in history.

At the same time, the Nomad teams actively work with the company TRM laboratories specialized inblockchain analysis as well as law enforcement to track down the stolen funds and attempt to identify the attackers.

Since bad news never comes alone, a Large-scale attack was recorded on the Solana network. Hence, it would appear that tens of thousands of seed sentences of users’ wallets were stored on a centralized server managed by the wallet slope.

Hacks are unfortunate but not inevitable dangers. Play it safe and register now on the PrimeXBT platform (commercial link).

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