Layer-1 blockchain network $WEMIX said an attacker moved about 724,000 in $USDC.e tokens after compromising ownership of a contract linked to its $WEMIX$ stablecoin and issuing tokens without authorization.
The abnormal transactions occurred on Sunday at 9:17 UTC, according to a preliminary incident update from $WEMIX. The attacker issued about 5.23 million $WEMIX$, which was converted into 30,736 $WEMIX and 724,198.27 $USDC.e. The $USDC.e was then bridged to Ethereum and BNB Smart Chain before being exchanged for assets including Ether and Tether’s USDT and distributed across multiple addresses.
$WEMIX said some of the funds were deposited into centralized exchanges. The company identified the attacker’s wallets and requested asset freezes and assistance from exchanges and stablecoin issuers, adding that some exchanges had already frozen addresses linked to the incident.
The company temporarily suspended all bridges connected to its layer-1 network, WEMIX3.0, including Chainlink CCIP and the PLAY Bridge. It also suspended trading in affected liquidity pools, withdrew foundation-provided liquidity, and paused services including the $WEMIX$ Module and PNIX decentralized exchange.
$WEMIX said the cause and full impact remain under investigation and warned that the preliminary figures could change.