Circle and Tether, the users of stablecoin, have managed to freeze over $65 million in assets which have been tied to the suspected exploit of Multichain, the cross-chain router protocol. The move has also followed multiple large outflows from the Multichain MPC bridge on the 6th of July.
According to OxScope, the knowledge graph protocol, three distinct addresses which received $63.2 million in USD Coin from Multichain have now been completely frozen. Another interesting report from the Fantom Foundation has noted that close to $2.5 million in Tether had also been frozen from two different addresses which were listed by Etherscan as Multichain Suspicious Addresses.
Circle Has Frozen Multichain Assets
It has been reported that around $125 million worth of cryptocurrencies were seemingly withdrawn from multiple wallets on the 6th of July, which affected the Fantom Bridge of Multichain, along with Dogecoin, Kava, Moonriver, and the ecosystem of Conflux. The major cause of this transfer of assets is still pretty unclear.
On Twitter, it was announced by Multichain that the current services had been suspended without announcing a return date. As it went with Circle, the company informed its clientele to not use the company bridging service now. Michael Kong, the CEO of Fantom Protocol stated that the transfer of funds did not appear to be a normal hack since the assets were sent to the alleged hacker’s wallets and not transferred anywhere else.
Circle’s former employee, Multichain, allows its users to transfer tokens between the different networks. It has also been facing some massive operational and technical challenges ever since its leadership vanished a few weeks ago. As it stands currently, bridges like Multichain are among the most vulnerable targets for crypto hackers.