UPCX was severely attacked today, with 18.4 million UPC tokens stolen from management accounts. This amount is equivalent to approximately 70 million USD, and the price of UPC has dropped sharply.
The hackers have stolen more UPC tokens than are currently in circulation and have not yet sold any assets. It is currently unclear who carried out this attack or how they will convert these assets into other assets.
UPCX Suffers Major Attack
Cyvers, a crypto security company, has tracked and identified a serious hack this morning. Multiple suspicious transactions occurred related to UPCX's management accounts, and the company has acknowledged the suspicious activity. UPCX did not provide many details, only describing a few security measures, but Cyvers pointed out the scale of the hack:
"It appears someone accessed address 0x4C….3583E, upgraded the 'ProxyAdmin' contract, and executed the 'withdrawByAdmin' function, resulting in the transfer of 18.4 million UPC (approximately 70 million USD) from three different management accounts," Cyvers stated on social media.
UPCX is an open-source cryptocurrency payment system, and this hack could be a major shock for the company. According to data from CoinGecko, the hackers have stolen more UPC tokens than currently exist, around 4 million. Naturally, this caused a sharp price drop, with an immediate decline of over 4%:
UPCX (UPC) Price Performance. Source: CoinGeckoAlthough the 70 million USD hack will certainly damage UPCX, it is unclear whether it will significantly impact the broader market. The largest hack in cryptocurrency history occurred over a month ago, and the community is still assessing the consequences. Meanwhile, UPCX is relatively small; fewer than 10,000 X users have viewed their security breach acknowledgment post.
Since the UPCX hack occurred, the receiving account has not moved any UPC tokens. In fact, it may be difficult for the perpetrators to convert these assets into immediately usable cash. If the hackers have stolen nearly 5 times the number of UPC tokens in circulation, any attempt to liquidate them would cause the UPC token price to drop even further.
Ultimately, the UPCX hack is strange for many reasons. Despite the large amount, it has not attracted much attention or affected the market beyond UPC. Hopefully, further analysis will identify the perpetrator, and the assets can be frozen. If not, the threat of a future sell-off could hinder UPC's recovery in the near future.
