"It's a challenging time, not only for our industry but also for the global economy," wrote Yuga Labs CEO, apparently hoping that people ignorant to the past year of disaster across the NFT industry might be willing to attribute Yuga Labs' struggles to macroeconomic forces and not the implosion of the crypto — and particularly NFT — world.
In a long post on Twitter, the project promised "we will refund all investor funds down to the last cent". They also wrote that "Not only are we going to use the fullest extent of the law to go after the person or persons behind this hack / attack, we will also use ALL OTHER MEANS NECESSARY - and we do have such resources at our disposal, to go after the ones who are behind this. (We work with assets within the Russian government directly...)"
In a later post on their website, however, they wrote that they do "not bear legal liability to refund investors for the losses incurred unless the hacked funds are successfully recovered", attributing the incident to force majeure. They repeatedly claimed that they had not been involved in the theft. The project completely took down its website, redirecting it to this post.
Prager Metis is among the auditors who audited FTX, and was noted by FTX's CEO-in-bankruptcy John J. Ray III for advertising itself as "the first CPA firm to officially open its headquarters inside the metaverse".
None of the clients involved with the faulty audits were disclosed in the lawsuit, and the SEC has not issued any statements connecting the charges to the FTX collapse.
Three Arrows Capital fell apart in June 2022, and was among one of the first major collapses that set off a domino effect of crypto company failures throughout that summer and the rest of the year.
The change is scheduled to go into effect on October 16.
Police have received more than 2,200 complaints pertaining to the exchange, involving $191 million (and counting) in possible losses. Eleven people, including various crypto influencers who had promoted the exchange, were taken in for questioning. However, police have said those eleven people were not likely central to the fraud, and that the leaders of the JPEX project are on the run.
According to the South China Morning Post, "The alleged case of financial fraud involving HK$1.37 billion is the largest of its kind in Hong Kong's history."
However, a bug on the part of the counterfeiter prevented massive losses. The spoofer used only six decimal places instead of eight, meaning that those who tried to redeem the fake tokens only received $250 instead of $25,000.
Upbit later re-enabled Aptos transactions after patching the bug.
In their announcement, Mixin wrote that "the database of Mixin Network's cloud service provider was attacked by hackers", leading to some confusion as Mixin is supposed to be a decentralized network that ostensibly shouldn't have a centralized cloud database.
Mixin announced they would be suspending deposits and withdrawals pending analysis of the incident. They also told users that they would be compensated "up to a maximum of 50%" on assets that had been stolen from them, and receive "tokenized liability claims" (that is, IOUs) for the rest.