Home Technology Nomad Bridge Hacked, Stolen Crypto Worth Around $200M

Nomad Bridge Hacked, Stolen Crypto Worth Around $200M

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Nomad Bridge Hacked, Stolen Crypto Worth Around $200M

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According to reports, on Monday a cryptocurrency worth nearly $200 million was drained from Nomad Bridge, a major cross-chain token bridge. The attackers reportedly drained the protocol of most of its funds, drawing more attention to the security of cross-chain bridges, which allow users to send and receive tokens between different blockchains. Hackers and others reportedly returned $9 million in lost funds to the bridge, mostly in the form of stablecoins, but most of the funds are still missing. Bridges typically work by locking tokens in a smart contract on one chain and then reissuing those tokens in wrapped form on another chain. But if the smart contract where the tokens are deposited is sabotaged – as happened in this attack – the wrapped tokens will no longer have support, which can render them worthless. In a recent report, blockchain analytics firm Chainalysis estimated that approximately $2 billion worth of cryptocurrency has been stolen from cross-chain bridges in 13 separate hacks so far this year. cross-chain bridges accounting for 69% of funds stolen this year.

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