Wanchain Bridge Breach Sends Midnight Token to All-Time Low

Midnight (NIGHT) token slid to a file low of $0.01524 after an attacker drained roughly 515 million tokens from Wanchain’s Cardano (ADA) bridge.

The stolen tokens reportedly represented about 97% of the bridge’s NIGHT reserves. Wanchain has since suspended the bridge whereas it investigates the breach.

Inside the Wanchain Bridge Drain

According to analyst Paul, the attacker emptied Wanchain’s Cardano-side lock address between 14:46 and 14:55 UTC. That tackle holds the custody backing Wanchain-wrapped NIGHT on BNB Chain.

Only NIGHT left the contract. Other bridged property stayed untouched, in accordance to the on-chain analyst. Reserves fell from about 527 million NIGHT to close to 12 million. The transfer stripped roughly 97% of the bridge’s holdings.

“This is a bridge-layer incident, token provide is unchanged. The wrapped NIGHT on BNB is now largely unbacked although,” the post learn.

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Token Dumped as Midnight Distances Itself

The attacker routed funds by newly created wallets and offered them on Cardano-based exchanges. About 290 million NIGHT hit decentralized exchanges (DEXs), pushing costs down.

The influence was clearly seen. At press time, NIGHT traded round $0.019, down about 27% on the day.

Meanwhile, the Midnight Foundation stated the incident did not impact its network. It burdened that core infrastructure continued to run usually.

“Midnight’s protocol, validator community, consensus, and core infrastructure stay safe and proceed to function usually,” the team stated.

The assault landed shortly after Allbridge Core lost $1.65 million, persevering with the string of assaults on crypto infrastructure this 12 months.

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