2021 was the year of Decentralized Finance, with more than 4.3 million users as we entered 2022. But with exponential growth comes excellent security risks. That’s what happened with the multi-billion dollar blockchain game giant. With planned releases in 2022, Illuvium is the most anticipated open-world blockchain-based fantasy sports game. Based on the Etherium blockchain, Illuvium plans on bringing together the concepts of decentralized finance (DeFi) and nonfungible tokens (NFT). As of late, the developing NFT game, Illuvvium, has become the hot topic after falling prey to illicit activities.
Illuvium’s development team has recently detected a vulnerability in their staking contracts. But they successfully prevented the attacker from cashing out by draining all the funds from a Uniswap pool. Such vulnerabilities and exploits are nothing new in the DeFi world. Although the measure temporarily shorted the sILV trading price to $0, the good news is that Illuvium could prevent further loss of funds. It is still unclear how much ETH the hackers could cash out before the Illuvium team drained the entire pool. The team has also shed light on some critical aspects for the investors.
Previously we have seen Illuvium team members warning us about fake Illuvium Twitter handles. Now they have tweeted that they take the financial safety of their token holders very seriously and will reimburse all lost funds. They have also issued a warning asking people not to buy in the unofficial sILV liquidity pools. Despite the best efforts by the Illuvium team, ILV, the governance token of Illuvium, has taken a significant hit. Before the attack, it was trading at $990 with a correction of 4%. We saw it go as low as $840 after the attack. With the booming NFT game space, we can see a substantial rise in hacks and scams. If you want to avoid bad experiences in the Metaverse, it is crucial to follow proper cyber security practices.