Understanding the Liquidity Loss Incident in Aurory’s AURY Token

Understanding the Liquidity Loss Incident in Aurory’s AURY Token

Aurory (AURY), a blockchain-based tactical Japanese role-playing game built on Solana (SOL), recently faced a significant liquidity loss in its Camelot’s AURY-USDC pool. The incident occurred due to a hack on the SyncSpace bridge, which led to the unauthorized withdrawal and subsequent market sale of approximately 600,000 AURY tokens on the Arbitrum (ARB) network.

The team behind Aurory detected unusual activity on their marketplace and initiated an investigation, uncovering a malicious actor who had exploited the marketplace’s buy endpoint. This exploit enabled the attacker to inflate their AURY balance in SyncSpace, allowing them to withdraw around 600,000 tokens to the Arbitrum network. The attacker then liquidated the stolen amount by selling it in the market.

To safeguard user funds, SyncSpace was promptly disabled for maintenance, temporarily suspending deposits and withdrawals. Fortunately, the statement released by Aurory’s team assured users that no funds or non-fungible tokens (NFTs) were lost or at risk during the incident.

The AURY tokens originated from a team wallet, facilitating withdrawals for accounts that had not previously deposited AURY. The team emphasized that the exploit is no longer ongoing as SyncSpace remains offline for maintenance. As a result, there is currently no risk of further exploits. Additionally, the attacker has exhausted their AURY supply and no longer possesses any tokens to sell. SyncSpace will conduct a thorough investigation to determine how the exploit went undetected despite a previous expert audit.

A comprehensive post-mortem report will be released by the team once the necessary fixes have been implemented and the investigation concludes. The team expects SyncSpace to be back online in the coming days, ensuring the continued functionality of the platform and protecting users from potential future exploits.

The price of Aurory’s token, AURY, experienced a significant upward trend since October 30, reaching a yearly high of $1.9008 on December 12. However, following the recent exploit, the price of AURY has retraced to $1.0868, marking a decline of 23.5% over the past 24 hours and 36.5% over the past seven days. Despite this setback, AURY still maintains substantial gains of 74% and 70% over the 30-day and one-year periods, respectively.

Investors and market participants are now closely monitoring the AURY token’s support lines at $0.9681 and $0.9086 to assess their ability to halt the potential continuation of the price drop. The prevailing downtrend puts a significant portion of the token’s 2023 gains at risk. It remains to be seen whether the support levels will hold or if further decline is on the horizon.

The liquidity loss incident in Aurory’s AURY token caused by the hack on the SyncSpace bridge highlights the importance of maintaining strong security measures in blockchain-based platforms. While the exploit led to a decline in the token’s price, the team’s prompt actions to protect user funds and investigate the incident demonstrate their commitment to addressing vulnerabilities and ensuring the safety of their community. As SyncSpace undergoes maintenance and further investigations, users can look forward to an enhanced and more secure platform experience in the near future.

Disclaimer: The article is provided for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell, or hold any investments. Naturally, investing carries risks, and readers are advised to conduct their own research before making any investment decisions. The information provided in this article is entirely at your own risk.


Articles You May Like

Bitcoin Analysts Predict a Bullish Future for BTC
XRP Price Analysis: Will it Rebound or Continue to Decline?
The Complex Dynamics of Short-Term vs Long-Term Investors in the Bitcoin Market
The Evolution of Copy Trading with B2Broker’s B2Copy Platform

Leave a Reply

Your email address will not be published. Required fields are marked *