Crypto has been on a hot streak recently, with bulls having the best time of their lives. After a long stand at the $30,000 region, Bitcoin has pushed towards the $50,000 mark, with other tokens following suit. Ethereum has seen its value jump too as there has been some big news in the NFT landscape regarding the acquisition of CryptoPunks by the famous Bored Ape Yacht Club. However, Ethereum received its fair share of unwelcome news on Tuesday, which did its part to raise doubts about crypto as a whole.
It was reported that $615 million worth of cryptocurrency was stolen from the Ronin Network, which is heavily used for Axie Infinity, the most popular blockchain game at the moment. This marked the second largest hack in crypto history behind the Poly Network attack, leaving users clueless. The network said this hack occurred on March 23rd when hackers were able to obtain users’ private keys and make withdrawals, draining accounts of Ether and other Stablecoins. According to the co-founder of Sky Mavis, the company in control of Axie Infinity, this was not a technical flaw but instead a mistake in social engineering due to lapses with the Axie DAO, but this attack gave anti-crypto thinkers more fuel. Ethereum fell slightly, but it was mostly unaffected by the attack, which signals that the circumstances of the attack didn’t concern investors.
I am not a financial advisor and my comments should never be taken as financial advice. Investments come with risk, so always do your research and analysis beforehand.