The EigenLayer protocol team, which on October 1 held listing of its own EIGEN token and announced the second season of airdropreported the theft of 1.67 million tokens worth about $5.7 million. The team is conducting an investigation. But it is already known that the incident is not related to the hacking of the project. The assets were mistakenly transferred to the fraudster’s address. The hacker compromised the email through which one of the investors transferred the tokens for storage. The attacker then quickly sold the tokens on a decentralized platform and transferred the resulting stablecoins to several cryptocurrency exchanges.
«The compromise did not affect the entire ecosystem as a whole. There is no known vulnerability in the protocol or token contracts, and this hack was not related to any blockchain functionality», — EigenLayer team stated.
Some of the fraudster’s assets were frozen.
Amid this news, the EIGEN token showed a drop and was trading at $3.1. The price has now risen to $3.51.
Shortly after listing on Binance and other leading exchanges the value of the EIGEN token has already fallen by more than 15%. The community was dissatisfied with the actions of the EigenLayer team: first, users were outraged by the airdrop conditions, and then it turned out that investors were given the right to steal coins immediately after unlocking. Moreover, the team did not report this, but simply added relevant information in the update documents. This undermined user confidence in the project, and the growth of the EigenLayer network began to decline.
EigenLayer protocol is based on Ethereum and has introduced a new approach called «collective restaking». It allows those who are already staking (freezing) their ETH cryptocurrency to participate in additional projects using the same staking.
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