Good day everyone,
I hope you are all well and having excellent day, welcome to CryptoGod-1’s blog on all things crypto. In this post I will be looking at the recent news of a hack on Serenity Shield project, a multi-chain data storage startup.
Serenity Shield
On Tuesday the 27th of February 2024 Serenity Shield fell victim to a theft which compromised its MetaMask wallet. The issue was noted on 'X' as the company announced the news and requested users to halt any trading of their token on PancakeSwap. They also suspended trading of the token on Gate.io.
The pseudonymous blockchain investigator ZachXBT noted from his investigations that the hack took place on one of Serenitys wallets located on the Binance Smart Chain, or BSC. The theft involved perpetrators stealing around 6.9 million native SERSH tokens worth $5.6 million at the time of hack.
The hack took place at 9:11 am UTC on the 27th of February with the 6.9 million SERSH tokens priced at $0.82 at the time of the exploit. These tokens were sent to an unidentified third-party wallet, data from BSCScan noted. Many users took to 'X' to complain about the company making use of a MetaMask hot wallet to store company tokens. One user noted:
“If holders safety was a priority, you wouldn’t use a Metamask hot wallet for securing vested tokens."
Security of the company has been questioned, along with their compromised coin. Their aims are being questioned and a company which cannot keep its tokens safe will always be questioned by the community.
Following the hack the price of the SERSH token fell from $0.565 to $0.009. This amounted to a near 99% drop in value although the token did see a slight recovery on Wednesday. The near zero price drop has seen Serenity note its plans to launch a new SERSH token “through a robust smart contract.” They are promising a token replacement on a 1:1 basis for existing SERSH holders, while also noting that they are working with CEXs (centralized exchanges) to determine the replacement process.
“Our team is actively addressing the situation, and further details will be provided as soon as they are available. Rest assured, we are deploying all necessary safety measures to ensure a foolproof system.”
With the company self-described as a “crypto inheritance” solution, many will be questioning their path going forward and whether there is indeed a future for their crypto inheritance plans. Their use of a Hot Wallet, which is connected to the internet to enable faster and easier access to decentralized finance protocols, has left many perplexed about those involved in the project. The SERSH token was only launched on the 18th of December 2024.
Have a great day.
Peace. CryptoGod-1.
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