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NFPrompt reports a security breach leading to losses

TL;DR

  • NFPrompt got hacked, losing user funds and platform assets.
  • Hackers breached wallets, forcing NFPrompt to act fast to protect assets.
  • NFP token value fell post-breach, leading to user warnings and exchange collaboration for safety.

NFPrompt, a content generation platform incubated by Binance, disclosed a significant security breach resulting in the compromise of user funds and the platform’s treasury. The incident, reported on March 15, involved unauthorized access by hackers to various wallets, including those of NFP’s contract administrators.

Security breach details

NFPrompt revealed that the breach constituted a “critical security incident” where hackers compromised several wallets, gaining control over funds. Among the affected assets were portions of the NFP treasury and ecosystem fund and wallets belonging to NFP’s contract administrators.

In response to the breach, NFPrompt swiftly transferred all smart contract ownerships associated with NFP to new addresses, effectively severing the attack vector. As a result, NFP tokens and other assets within the platform are now deemed secure.

Impact on NFP token

Following the security breach, the value of the NFP token experienced a significant decline, plummeting by 13.8% within 24 hours of the incident, according to data from CoinGecko. Starting at $0.96 on March 14, the token’s value plummeted to an intraday low of $0.76, currently trading at $0.79. Despite this setback, NFP has remained at approximately 21% over the past 30 days.

NFPrompt issued advisories to its users, cautioning against accepting NFPs from untrusted sources and recommending trading the token solely on reputable centralized exchanges (CEX) until further notice. Additionally, the platform collaborated with partner CEXs to suspend deposits during the investigation. Decentralized exchanges (DEX) were urged to halt all liquidity pool activities involving NFP, while specific CEXs were notified to freeze transactions linked to the hackers.

The security breach experienced by NFPrompt underscores the persistent threat posed by cyberattacks within the cryptocurrency ecosystem. Despite immediate response measures and cooperation with exchanges, the incident has led to user losses and impacted the NFP token’s value. Moving forward, NFPrompt remains committed to enhancing its security protocols to safeguard user funds and uphold the integrity of its platform.

This article provides a concise overview of the security breach, its impact on users and the NFP token, and the response measures taken by NFPrompt and collaborative efforts with exchanges. The formal and neutral language avoids repetition, ensuring clarity and professionalism in delivering the information.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

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James Kinoti

A crypto enthusiast, James finds pleasure in sharing knowledge on fintech, cryptocurrency as well as blockchain and frontier technologies. The latest innovations in the crypto industry, crypto gaming, AI, blockchain technology, and other technologies are his preoccupation. His mission: be on track with transformative applications in various industries.

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