Nexera protocol might have lost the entire supply of its native tokens due to a security breach. Blockchain forensics platform Cyvers Alerts first reported the breach in a social media post early today, August 7.
The platform notified the Nexera team that it noticed a series of suspicious transactions on the protocol. Cyvers Alerts claimed that an unknown address hijacked Nexera’s proxy contract, executed upgrades, and exploited the withdraw admin function to transfer all NXRA tokens.
The attacker reportedly converted the stolen tokens to Ethereum (ETH), with portions funnelled to the Binance Smart Chain (BNB Chain). Cyvers estimated the loss to be around $1.5 million.
Meanwhile, the Nexera team has also announced that it has paused the $NXRA token contract, stopped trading on DEXes connected to its platform following the discovery of these suspicious transactions, and suspended operations on its Nexera Bridge as a precaution.
The Nexera team noted that they are actively working with their partners at Hypernative Labs to trace the source of the exploit and have initiated discussions with law enforcement. They promised to share further details once more information is available.
The team advised all users to stop trading immediately while it the investigates the exploit.
The team also noted that it has informed major exchanges such as KuCoin and MEXC to suspend deposits and withdrawals related to the platform.
This incident follows closely on the heels of another significant attack in the DeFi space. Just 24 hours earlier, the Ronin Network reportedly lost about $12 million worth of Ethereum and USDC in a security breach. The attackers exploited a misconfigured upgrade to withdraw 4,000 ETH and 2 million USDC. Despite quickly suspending the bridge’s operations, the attackers were able to move the funds withdrawals in a single transaction. This incident is the latest in a series of security challenges for Ronin, including an infamous $625 million breach in 2022.
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