ERC20 token deposits suspended on Hong Kong-based cryptocurrency exchange OKEx following a serious smart contract bug
|- “This makes many of the ERC-20 tokens vulnerable to price manipulations of the attackers,” OKEx.
- The move is to protect the public interest after the discovery of a “new smart contract bug.”
The third largest cryptocurrency exchange, OKEx has today announced to its users that ERC20 token deposits have been suspended. The move is to protect the customers after the developers discovered something they referred to as a “new smart contract bug.”
The communication made via an official blog post also referred to the bug as a “BatchOverFlow.” The bug can be exploited by the attackers to create large amounts of the ERC20 tokens. Consequently, the tokens can then be deposited into the usual asset’s wallets. The team said that “This makes many of the ERC-20 tokens vulnerable to price manipulations of the attackers.” The blog adds:
“To protect public interest, we have decided to suspend the deposits of all ERC-20 tokens until the bug is fixed. Also, we have contacted the affected token teams to conduct investigation and take necessary measures to prevent the attack.”
It’s barely a day since DNS exploit discovered that some users of the ERC20 resource wallet, MyEtherWallet, unintentionally interacting with phishing site that was exposing their funds and login data. The developers denied the event to be a weakness of the wallet despite a number of sources claiming that it is a fault in MyEtherWallet.
On the other hand, OKEx has “contacted the affected token teams to conduct investigation and take necessary measures to prevent the attack.” Besides, the customers who had sent their deposits will not lose funds, however, their accounts will be credited after the issue has been dealt with.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.