Nomad suffers $200M in cryptocurrency due to hacking

Nomad announced a major hacker attack, which resulted in the loss of $200M in cryptocurrency.

On Monday, Nomad announced work on improving the security of its platform. The message on Twitter did not appear by chance. It was due to the fact that hackers steal almost $200 million in cryptocurrency from the platform. To date, Nomad has not specified how successful the exploit was. However, unnamed crypto market experts believe it was tantamount to “free-for-all”. One of them said to CNBC, that the platform may be compared to an ATM in which everyone who was aware of the hacker attack could simply withdraw tokens.

It is clarified that the problem occurred during the update of the Nomad code. As a result, whenever a user wanted to transfer funds, hackers were able to request a withdrawal of funds for this amount. Commenting on the news, Analog founder and chief architect of crypto Victor Young said that this event could have negative consequences. The exploit, in fact, can allow scammers without programming experience to copy the code used by hackers and repeat their results.

In fact, the Nomad case may call into question the security of even such innovative and technological platforms, experts say. And in support of this opinion, we can recall how in 2022 the Ronin network was hacked, and $615 million was lost.