Gala Games Loses $236 Million in Major Security Breach, GALA Plummets 15%

May 20, 2024, 11:12 PM

Gala Games, a prominent Web3 gaming platform, has suffered a significant security breach resulting in the loss of $236 million. The hack involved the unauthorized minting of approximately 5 billion GALA tokens, valued at around $214 million. The attacker subsequently exchanged a portion of these tokens for Ethereum (ETH), converting around 5,952 ETH, which is roughly $21.8 million. The breach appears to have stemmed from a private key compromise of the minter address, allowing the hacker to mint and sell the tokens on decentralized exchanges like Uniswap. Gala Games has since blacklisted the hacker's address to prevent further transactions. The incident has caused GALA's value to plummet by 15%. Additionally, 4.4 billion tokens were burned. The company is reportedly working with the FBI to investigate the hack.