The decentralized AI project TAO from Bittensor has halted its blockchain network after a breach affected several users’ wallets. On-chain analyst ZachXBT reported that the thefts were probably due to leaked private keys.
More than $8 million worth of TAO, approximately 32,000 tokens, were stolen, causing the token’s value to drop significantly by 15%, from $281 to $234.
Bittensor Network Suspended After Wallet Breach
ZachXBT initially detected the unusual transactions and suggested that the breach might be linked to leaked private keys. In response, the Bittensor community Discord administrator announced that all transactions were halted to prevent unauthorized activities while the issue was investigated.
The last recorded block on Bittensor’s Explorer was about three hours before the network shutdown. Jacob Robert Steeves, co-founder of Bittensor Network, confirmed the situation, explaining that the network suspension was necessary as developers worked to address and resolve the issues.
Source: X
The Bittensor team assured that the network is safe and is focused on understanding the extent of the problem and the hacks. The Discord administrator, identified as const [т, T], updated the community, stating, “We are investigating what appears to be an attack on the Bittensor wallets over the last 3 hours. All chains are paused until further notice.”
TAO Token Price Drops 15% After Bittensor Wallet Hack
Following the Bittensor wallet breach, the TAO token price experienced a significant drop. Data from Taostats shows a nearly 15% decline in the token’s value over a single day, marking a substantial setback for the market. At the time of writing, the Opentensor Foundation, the organization behind the Bittensor protocol, has not yet provided official details about the hack.
As Bittensor developers work to address the vulnerability and investigate the attack, the community is eagerly awaiting further updates and the resolution of the issue.
Important: Please note that this article is only meant to provide information and should not be taken as legal, tax, investment, financial, or any other type of advice.
Join Cryptos Headlines Community
Follow Cryptos Headlines on Google News
Author
