UPCX Suffers $70M Hack, Price Drops 4%

UPCX, an open-source crypto payment system, experienced a significant security breach today, resulting in the theft of 18.4 million UPC tokens from its management accounts. The stolen tokens are valued at approximately $70 million, causing a drastic drop in the price of UPC. The hackers have not yet moved any of the stolen tokens, and it remains unclear who is behind the attack or how they plan to convert the tokens into usable assets.

The security breach was identified by Cyvers, a crypto security firm known for uncovering major crimes in the crypto space. According to Cyvers, the hackers gained access to the address 0x4C….3583E, upgraded the ‘ProxyAdmin’ contract, and executed the ‘withdrawByAdmin’ function. This action resulted in the transfer of 18.4 million UPC tokens from three different management accounts. The hackers stole significantly more UPC tokens than are currently available in the market, which is around 4 million tokens. This caused an immediate drop in the price of UPC by over 4%.

UPCX acknowledged the security breach but provided limited details about the measures taken to address the issue. The hack has raised concerns about the security of UPCX and its impact on the broader crypto market. However, given the relatively small size of UPCX compared to other major crypto platforms, the impact on the broader market is expected to be minimal. The largest hack in crypto history occurred just over a month ago, and the community is still assessing the fallout from that incident.

The recipient account has not moved any of the stolen UPC tokens, making it difficult for the perpetrator to convert these assets into usable fiat. If the hackers attempt to liquidate the tokens, it could further crash the price of UPC. The situation remains uncertain, and further analysis is needed to identify the perpetrators and potentially freeze the assets. The threat of a future sale could hamper UPC’s recovery for the foreseeable future.

This hack is unusual for several reasons. Despite the large dollar amount involved, it has not attracted significant attention or impacted the market outside of UPC. The community is closely monitoring the situation, and further developments are expected as the investigation continues. The hack highlights the ongoing challenges in the crypto space regarding security and the need for robust measures to protect against such breaches.