Bithumb Suspends SAND Transfers Over Suspected Minting of 500 Million+ Tokens

The alleged security issue regarding The Sandbox’s SAND token on the Base network is escalating, with over 500 million new tokens minted and exchanges taking precautionary measures.

Cryptocurrency news platform Wu Blockchain reported that The Sandbox is facing a suspected serious security breach on the Base network. On-chain records indicate that an attacker seized token minting authority and produced more than 500 million SAND. The minting process is reportedly ongoing.

Such an operation poses a risk for SAND holders as it could lead to a rapid increase in circulating supply. However, current information does not confirm the incident as a definitive attack. The development is being reported within the context of a suspected security issue and ongoing on-chain activity.

Bithumb Halts SAND Transfers

Bithumb, one of South Korea’s major cryptocurrency exchanges, has temporarily suspended deposits and withdrawals for SAND. In an announcement dated August 22, the exchange stated that transactions would remain suspended until network security is ensured, at which point they will be resumed. The justification for the decision was described as suspicious findings related to a security issue on the SAND network.

Meanwhile, Upbit announced on August 22 that it had detected signs of a potential security issue linked to SAND. The exchange warned users about high price volatility and issued a trading warning for SAND.

The Sandbox is a subsidiary of Animoca Brands, and the project raised $93 million in its 2021 investment round. Users holding SAND on exchanges or in wallets should follow the latest announcements from relevant platforms regarding transfer restrictions and potential delays.