Privacy-centric stablecoin Verve has been hit by a DDoS attack, causing the platform to lose transaction dates from July last year. The attack means thousands of balances have disappeared, and users who bought or received Verge (XVG) from July 2020 may have lost their balances.
The hack attack has been described as the deepest reorg attack on a top 100 cryptocurrency. However, it’s not yet known whether the incident comprised a coordinated attack.
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According to Antoine Le Calves, chief operating officer at Coinmetrics, about 560,000 blocks vanished on Monday.
Verge says funds are safe
However, the Verge development team has assured users that the threat actors were not successful and users’ funds are safe.
The firm also stated that the developers are aware of the situation and are working to solve the problem. Additionally, Verge told users that things will come back to normal within 13 hours.
In its Telegram channel, Verge sent a series of messages addressing the issue. According to the developers, the threat actors wanted to use some malicious codes to create a fork. However, the attack was only 51% successful, they stated. Complete details of the attack have also been published on Medium.
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Users should check their funds
Verge is saying although users’ funds are safe, they should also examine their transaction data to make sure everything is in order.
Le Calvez also stated that the reorg may have been triggered by a double-spend, especially when several XVG tokens are used at the same time for two different transactions.
But he also thinks that it will take some time before the developers can figure out the exact trigger for the reorg because of the scale of the incident. Verge also pointed out that the attack, despite its huge nature, will be easy to control.