Nexera has halted its token contract, and the team advises that crypto investors cease trading the NXRA token.
Nexera, a blockchain infrastructure protocol specializing in tokenization, has suffered an exploit that resulted in a loss of $1.5 million, according to crypto security firm Cyvers.
Smart contract hacking involves identifying and exploiting vulnerabilities within decentralized applications.
The breach occurred when an unknown address took ownership of Nexera’s proxy contract, upgraded it, and used the withdraw admin function to transfer the NXRA tokens.
“Our system has detected a suspicious transaction involving your proxy contract. An address took ownership of your proxy contract and upgraded it. Shortly after, the address used the withdraw admin function to transfer all the $NXRA tokens,” Cyvers said.
Hacker Converts Stolen Tokens to ETH
Cyvers revealed that the wallet is currently selling all the tokens for ETH, and some funds have already been transferred to the BNB chain.
Hackers frequently exchange their stolen tokens for ETH to launder the funds using crypto mixers such as Tornado Cash, making it more challenging for cybersecurity firms to trace the origin of the assets.
Shortly after Cyvers reported the hack, Nexera announced on X saying it was “investigating an exploit involving smart contracts containing NXRA tokens.” The project highlighted critical steps to mitigate the damage and prevent further losses.
The Nexera team paused trading on the NXRA token contract, and trading on decentralized exchanges has also stopped. Nexera said that it is also engaging with centralized exchanges to halt NXRA trading.
Nexera Sheds 140%
Following the exploit, the NXRA price plunged 140%, reaching a record low of $0.01815, according to data on CoinMarketCap.
However, the token has started recovering. At the time of writing, NXRA is trading at $0.03438, down 42.39% in the last 24 hours since the exploit occurred.
Meanwhile, the Nexera incident comes a day after a suspected white hat hacker exploited the Ronin Network, resulting in the loss of $11 million in ETH.
