Banana Gun promises to refund victims after 3 million exploit
Banana Gun announced that it would reimburse the 11 users affected by a $3 million wallet exploit.
The team said on Tuesday on X that all affected users will be fully refunded from the Banana Gun Treasury and explained that no tokens have been sold to raise the funds for reimbursement.
BOT INCIDENT RECAP
First of all, we’re humbled by the incredible bot activity on Banana Gun, even after last week’s incident. Thank you all for your patience and trust. We take this as a testament that we're handling the situation properly. As previously mentioned, our EVM and…— Banana Gun 🍌🔫 (@BananaGunBot) September 24, 2024
🚨 SECURITY ALERT 🚨
We've received reports of wallet drains affecting @BananaGunBot users.
If you suspect your funds may be at risk:
- Sweep your assets into a fresh wallet
- Lockdown your assets with our free tool at https://t.co/Vr7qwpksc2
We'll keep updates streaming in— FailSafe (@protectmywallet) September 19, 2024
Banana Gun Hackers targeted smart money traders and crypto veterans
In-depth details about the attack were also provided in the announcement. The smart money traders and cryptocurrency veterans recognized for their social media presence or trading experience were the primary target of the security breach, according to Banana Gun. Banana Gun said that the victims' wallets were manually emptied by the attacker while they were interacting with the bot.
Banana Gun introduces security measures
The Banana team stated that, aside from two-hour transaction delays, the EVM and Solana bots are back online. Banana Gun said that the hackers carried out the manual crypto transfers by taking advantage of a flaw in the Telegram message oracle. Users were reassured by the team that additional security measures had been implemented to avoid a recurrence of the vulnerability and that it had been patched.
Furthermore, the team is also working on conducting a thorough front-end and back-end analysis of all systems, as well as adding two-factor authentication for all transfers.
Banana Gun moves to new servers to prevent further exploits
In an effort to stop more exploits, the Telegram Bot team declared that they had moved to new servers and redeployed the back end. Additionally, Banana Gun collaborated with third parties, such as Security Alliance, a leading Web3 security company. In the future, the team pledged to carry out additional audits for web apps and Telegram bots.
Details of the Banana Gun Hack
On September 19, users of the Telegram-based trading bot Banana Gun suffered significant losses as a result of the bot's compromise. Reportedly, over 500 ETH were removed from wallets associated with Banana Gun, resulting in a total loss of $1.9 million.
The breach was first discovered by a number of community members, and the on-chain security protocol Failsafe verified the incident via an X post.
The victims—at least 11 users—have lost cryptocurrency valued at $1.9 million in total. Some users on X (formerly Twitter) have expressed doubts about whether the Banana Gun bot was directly hacked, despite the relatively small number of victims.
In a pinned message on the Banana Gun Telegram channel, the team acknowledged the problem and said it was investigating the issue, and the bot is currently offline.
Telegram-based trading bots Banana Gun allows users to execute on-chain transactions and predict future token launches. With almost 279,000 users, it has generated over $6.3 billion in trading volume.
The recent security breach has generated discussions regarding the safety of automated trading tools in the cryptocurrency industry, despite their widespread use.
Price of BANANA decreases by 2% after announcement of refund to hack victims
After the announcement of refunds to users impacted by the exploit, it was noticed that the price of BANANA decreased by 2.1% over the last 24 hours and is currently trading at $0.3383, while the market capitalization is $1.47 million according to data from CoinMarketCap.
Disclaimer
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