DeltaPrime on Avalanche Loses $4.5M in Hack, Suspect North Korea

Key Points:

• The $4.5 million DeltaPrime hack resulted from a leaked admin private key, which stole USD Coin and immediately converted it into Ethereum.
• Rumours of possible involvement by North Korea abound, but none has been found to prove the claim.
• $PRIME, DeltaPrime’s native token, falls 6% following the incident.

Details of the $4.5M Hack on DeltaPrime

DeltaPrime is a decentralized borrowing protocol backed by Avalanche and GSR Markets that has suffered a significant security vulnerability. A hacker stole $4.5 million by exploiting a leaked admin key and targeting the Arbitrum version of the protocol. The stolen USDC was quickly converted to Ethereum, raising concerns about DeFi platform security.

This has exposed the DeFi systems to critical vulnerabilities, which demand more sturdier security measures and better risk management.

Possible North Korean Involvement in DeltaPrime Hack

Growing speculation exists about a possible North Korean connection to the DeltaPrime hack. DeltaPrime had earlier employed IT staff in North Korea, adding to suspicion. However, no concrete direct evidence links these people to the breach.

The immediate aftermath of the hack has been the fall of DeltaPrime’s native token, PRIME, by 6% to $1. The team has said nothing publicly about this occurrence, and one can feel the concern it raises among investors and stakeholders regarding the possible consequence of such an action on their Avalanche-based protocol. As the investigation unfolds, one essential emphasis is given to the security of the DeFi platforms.

DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.