Hacker steals $625 million from the Axie Infinity gaming blockchain

In the latest blockchain-related hack, a hacker or group of hackers successfully stole about $625 million from the blockchain that powers the Axie Infinity NFT game.

Axie Infinity NFT Game

Since NFTs became mainstream, NFT games have been among the most significant NFT and Web3 growth drivers. More companies and industries adopt NFT technology for their activities, but few have had more success than NFT games.

Sky Mavis is the company behind Axie Infinity and Ronin, and on Tuesday, March 30, the company revealed the attack against its system that resulted in one of the most expensive and scintillating losses of assets in NFT history.

Shortly after the heist, the company froze transactions on the Ronin Bridge, and this is noteworthy because the Ronin Bridge is what allows the depositing and withdrawing of funds from Sky Mavis’ blockchain.

Sky Mavis built its Ronin blockchain to give the company more control of processing speeds, price, and general user experience. Creating a dedicated Ronin blockchain isn’t a move isolated to Sky Mavis. It has become a good case practice adopted by a considerable number of players in the gaming NFT space.

Going through the stories about the causes of the Sky Mavis hack, one factor that becomes glaring is incompetence. The hacking episode could have been completely avoided if the team behind the Ronin blockchain had taken better long-term decisions rather than short-term fixes that compromises the system in the long term.

Axie Infinity & the Ronin blockchain

According to Sky Mavis, the hacker(s) successfully stole 173,600 Ethereum worth more than $600 million at the time of curating this piece and 25.5 million USDC; USDC is a stable coin pegged to the US Dollar.

On Wednesday, March 23, the heist focused on the Ronin blockchain. The attacker successfully compromised network nodes to validate transfers through the blockchain, according to the company.

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