Blockchain platform NULS loses $480K worth of crypto in hack

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Singapore-based company NULS Foundation Pte. Ltd. announced that its blockchain platform lost roughly $480,000 worth of NULS coins after an account of the NULS team was attacked by hackers.

In its announcement, NULS reported that 2 million tokens were moved, of which 548,354 tokens worth approximately $131,600 entered the marketplace and were now difficult to trace. NULS disclosed that hackers exploited a security vulnerability within the NULS version 2.2, which the team says has now been resolved.

*Security Update* pic.twitter.com/GN41agKgi1

— NULS (@Nuls) December 22, 2019

In reaction to the theft, Nuls’ developers decided to hard fork the blockchain at block height 87,800, which is a code modification of the blockchain itself to change how it operates. As Ethereum demonstrated, hard forks are a controversial method of dealing with thefts. During that theft, hackers stole roughly $55.4 million worth of Ethereum.

The action should help to stop losses to community members, the team claims. After the hard fork, the remaining stolen 1451645 NULS that did not enter the trading market will be destroyed in a permanent freeze to stop the continued flow into the market. The freeze will ensure that thieves no longer profit from the theft.

The hard fork will be released as soon as possible, with the team notifying node owners that an upgrade is compulsory to avoid receiving unnecessary yellow cards. The team will provide more details once the investigation is finished.

NULS noted they relevant cryptocurrency exchanges are contacted and are actively cooperating with the NULS team. The stolen tokens represent only 2% of the circulating supply of over 73 million. The hack has appeared to have little effect on NUL’s price movement. At press time, NULS has lost 1% on the day and is trading at $0.238.