DeFiance Capital Founder Lost $1.6 Worth NFT in Cyber Attack

The attacker got access to NFTs present in the hot wallet including famous Azukis, which he sold on Opensea.

Written By:
Rajpalsinh

Defiance Capital Founder Lost $1.6 Worth Nft In Cyber Attack

The more the NFT trend is becoming common, more cyber attacks are striking on the NFT platforms and maniacs. Today, the founder of DeFiance Capital, Arthur Cheong (“Arthur_0x”) suffered an attack, in which his hot wallet got compromised.

He revealed in a tweet that his account was hacked after he spent years as a “sophisticated 5 year crypto user,” and he lost access to his digital assets, including NFTs. Nearly $1.6 in NFTs were stolen from his hot w

allets, demonstrating the security concern.

According to PeckShield, the stolen NFTs include five CloneXs, 17 Azukis, 33 Second Selfs, two Hedgies, and two Tsubasa NFTs. 

Arthur lost 78 NFTs from different collections, but most appear to be Azukis. Additionally, 68 Wrapped Ether (WETH), 1,578 LooksRare tokens (LOOKS), and 4,349 Staked DYDX (stkDYDX) were also lost. 

He wrote in a tweet, “Well this hit me hard but if I got exploited as a fairly sophisticated 5 years crypto user (DeFi user, password manager, mostly hardware wallet” and added, “I’m not sure how I can persuade most normal people to put a substantial part of their networth onchain anymore.”

As per the data revelation, some of the Azuki NFTs sold on the secondary marketplace OpenSea. 

In a thread of tweets, Arthur stated that the attacker sent him a phishing email by replicating some famous protocol layout and executed a quick engineering attack. The email contains the file entitled “A Huge Risk of Stablecoin”.

He also appealed to the community to stay safe as the attacker is still active and looking for opportunities. 

Arthur Cheong urged to blacklist his crypto address and the community also asked digital asset consumers to place bids or buy NFTs from a hacked address. 

Recently, many NFT platforms and individuals have suffered cyberattacks. Last month, in another NFT hack, a perpetrator deceived a Bored Ape NFT holder and snatched away all his BAYC NFT, which was worth over $2.7 million at that time.



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Meet Rajpalsinh, a Content Writer at The Crypto Times, where his magical hands, with over 2 years of experience, transform the cryptic world of crypto into laughably simple tales.