- Gala Games confirmed an attack on GALA tokens.
- The company said the attack was “contained.”
- CEO Eric Schiermeyer hinted at what permitted the attack.
Web3 gaming company Gala Games said on Tuesday that a security incident that led to the unauthorized issuance of billions of GALA tokens has been “contained.”
On May 20, GALA plummeted nearly 15% due to concerns about possible abuse. Etherscan data shows that someone minted and transferred 5 billion GALA, worth about $212 million, during the incident.
Gala Games’ response
Hours later, on May 21, Gala Games released its first update acknowledging the exploit.
“The security incident involving the $GALA token has been contained and the impacted wallet has been frozen.” The firm wrote on X. “This was an isolated incident, the cause of which has been addressed and we are working closely with law enforcement to investigate the individuals behind the breach.”
Gala Games reiterated its commitment to the “highest standards” of security and transparency, saying it would provide users with more updates as the investigation continues and take “all necessary steps” to prevent further exploits.
The warning did not reveal any details about the exploit, but Gala Games CEO Eric Schiermeyer said in an Burn of 4.4. 1 billion tokens.
According to the CEO, Gala Games believes it has identified the suspects and is currently working with the FBI, DOJ, and a network of international authorities to resolve the matter.
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