Hacker Exploits $YU Token, Nets A Massive $7.7 Million Across Multiple Chains

A hacker has conducted a massive exploit of the $YU token, minting hundreds of millions of tokens and swapping some of them into stablecoins and Ethereum on various blockchains. The cross-chain infrastructure remains a challenge that is indicated in the incident.

The attacker minted 120 million $YU tokens on the Polygon network, according to on-chain data. This was cross-bridged and sold within Ethereum and Solana for 7.71 million, and the hacker received 7.7 million in USDC.

Remaining $YU Tokens Still in Circulation

Although the first conversion has already brought great returns, the hacker does not yet have small sums of the hacked tokens. It has been reported that there are 22.29 million $YU that are still in wallets in both Solana and Ethereum.

Besides, approximately 90 million $YU remain on Polygon, unexchanged and unexpended. Participants in the market are now keenly following whether the hacker will seek to transfer these funds, which would result in additional interference with the liquidity in chains.

The magnitude of the exploit has brought up questions concerning the security measures of the ecosystem of $YU and the larger issue concerning the vulnerability of minting and lack of cross-chain oversight.

Conversion Into Ethereum

The hacker then exchanged the stablecoins with Ethereum after converting a portion of the stolen YU into USDC. The total amount of USDC exchanged with 1,501 ETH was 7.7 million.

The money was split into wallets to hide its trail.

Security Concerns Remain

The event once again highlights the susceptibility of token minting and bridging systems that may subject an ecosystem to devastating losses. Despite being the key to increasing liquidity and utility, cross-chain protocols remain a high-profile sector that hackers are interested in.

In the case of the $YU community, this is yet to be solved since millions of exploited tokens are still going round. Unless recovery operations are undertaken or the stolen money is blacklisted, further liquidations by the hacker may still be made.

The case is one among a rising number of high-profile adventures in the decentralized finance world, which further supports the idea that stricter security audits and enhanced cross-chain protection are necessary.

With over five years of experience in crypto, blockchain, and tech content, Ishtiyaq makes complex topics easy to understand. He simplifies blockchain and digital currency concepts for a wide audience, ensuring that beginners and experts alike can grasp key ideas. His clear and engaging writing helps readers stay informed about the latest trends, developments, and innovations in the crypto space. Whether explaining blockchain technology, digital assets, or DeFi, Ishtiyaq breaks down complicated ideas into simple, digestible content. His goal is to help people navigate the fast-changing world of cryptocurrency with confidence, clarity, and a deeper understanding.

Source: https://blockchainreporter.net/hacker-exploits-yu-token-nets-a-massive-7-7-million-across-multiple-chains/