On February 13, the IOTA network came to a screeching halt and the IOTA Foundation reports that $1.6 million worth of the native currency was stolen. The following day, the IOTA network status page still shows the mainnet is “not operational” and the development team has found an “exploit related to the Trinity Wallet.”
IOTA Trinity Wallet Compromised for $1.6M
The IOTA network is a hot topic within the cryptocurrency community right now, with people discussing the network’s recent outage. At the time of publication, IOTA’s network status page says “Mainnet (1341599), Not operational, TPS: 0.6500.” Alongside this message are multiple status updates from the core development team. At first, the team heard several reports of theft and decided to warn people using Discord and Twitter.
The developers also said: “As a precaution, we ask you to keep your Trinity wallet closed for now.” Following the initial investigation, IOTA programmers decided to turn off the “coordinator to make sure no further theft can occur until we find out the root cause of these thefts.” Since the initial announcements, the topic has been trending among the crypto community across social media. The team also warned the community on Twitter and explained that law enforcement were involved. The official IOTA Twitter account stated:
Currently, IOTA is working with law enforcement and cybersecurity experts to investigate a coordinated attack, resulting in stolen funds. To protect users, we have paused the coordinator and advise users not to open Trinity until further notice. Read More...