- “This makes many of the ERC-20 tokens vulnerable to price manipulations of the attackers,” OKEx.
- The move is to protect the public interest after the discovery of a “new smart contract bug.”
The third largest cryptocurrency exchange, OKEx has today announced to its users that ERC20 token deposits have been suspended. The move is to protect the customers after the developers discovered something they referred to as a “new smart contract bug.”
The communication made via an official blog post also referred to the bug as a “BatchOverFlow.” The bug can be exploited by the attackers to create large amounts of the ERC20 tokens. Consequently, the tokens can then be deposited into the usual asset’s wallets. The team said that “This makes many of the ERC-20 tokens vulnerable to price manipulations of the attackers.” The blog adds:
“To protect public interest, we have decided to suspend the deposits of all ERC-20 tokens until the bug is fixed. Also, we have contacted the affected token teams to conduct investigation and take necessary measures to prevent the attack.”
It’s barely a day since DNS exploit discovered that some users of the ERC20 resource wallet, MyEtherWallet, unintentionally interacting with phishing site that was exposing their funds and login data. The developers denied the event to be a weakness of the wallet despite a number of sources claiming that it is a fault in MyEtherWallet.
On the other hand, OKEx has “contacted the affected token teams to conduct investigation and take necessary measures to prevent the attack.” Besides, the customers who had sent their deposits will not lose funds, however, their accounts will be credited after the issue has been dealt with.
Original URL : https://www.fxstreet.com/cryptocurrencies/news/erc20-token-deposits-suspended-on-hong-kong-based-cryptocurrency-exchange-okex-following-a-serious-smart-contract-bug-201804251405