Munchables, a GameFi protocol, recently announced that blockchain investigator ZachXBT has been appointed as one of four custodians for a multisig wallet holding hacked user funds. This decision comes after a significant security breach where nearly $63 million was lost and later recovered. The exploit involved a rogue in-house developer compromising the game’s private wallets on the Ethereum layer-2 network Blast. The exploiter, known as “Werewolves0493,” was impersonating multiple developers within the Munchables team. Fortunately, the developer returned the stolen funds without demanding a ransom, but Munchables is taking steps to prevent future incidents and return the hacked users’ funds.
To enhance security measures, Munchables has added new multisignature signers, including investment firm Manifold Trading, market maker Selini Capital, and blockchain investigator ZachXBT. These signers will oversee the safe return of users’ funds and the project’s security upgrades. Additionally, Munchables developers from Manifold Trading and Selini Capital will conduct reaudits and upgrade to new contracts, with assistance from Ethereum infrastructure firm Nethermind. ZachXBT confirmed his temporary role as a multisig signer and expressed support for the team’s rotation of signers as needed for security purposes.
As Munchables prepares for its relaunch, the platform has announced initiatives to incentivize returning gamers and support entities involved in the recovery process. Returning gamers will receive higher rewards, and financial support will be provided to those who helped users during the security breach. Custodians and users who assisted in thwarting the attack will also receive ETH and future MUNCH donations for their aid in asset recovery. In addition, Munchables plans to re-release with NFT migration plans and additional features to enrich user experience and ensure a secure environment for the gaming community.
In expressing gratitude, Munchables quoted Confucius to highlight the importance of seizing opportunities and making the most of life’s experiences. The platform emphasized that users should be cautious of websites offering refunds and assured that refunds would be directly sent to users’ wallets to ensure a smooth and secure transition back to the platform. By implementing enhanced security measures, bringing in trusted entities, and revamping the team structure, Munchables aims to prevent future security breaches and create a safe environment for its users.
Overall, Munchables’ response to the security breach showcases a proactive approach to addressing vulnerabilities, enhancing security measures, and rewarding those who aided in the recovery process. With the involvement of reputable custodians like ZachXBT and established entities, Munchables is taking significant steps to rebuild trust, provide financial support, and relaunch with improved features for its gaming community. The company’s commitment to maintaining transparency, supporting the recovery efforts, and prioritizing user safety sets a positive precedent for the GameFi industry as a whole.
