WEMIX Suspends Bridges After Unauthorized WEMIX$ Minting Incident

Layer-1 blockchain network WEMIX said an attacker moved about 724,000 in USDC.e tokens after compromising ownership of a contract linked to its WEMIX$ stablecoin and issuing tokens without authorization. The abnormal transactions occurred on Sunday at 9:17 UTC, according to a preliminary incident update from WEMIX. According to Cointelegraph, the attacker issued about 5.23 million WEMIX$, which was converted into 30,736 WEMIX and 724,198.27 USDC.e before the USDC.e was bridged to Ethereum and BNB Smart Chain and exchanged for assets including Ether and Tether’s USDT. WEMIX said the funds were then distributed across multiple addresses, and some of the assets were reportedly deposited into centralized exchanges. The company said it identified the attacker’s wallets and requested asset freezes and assistance from exchanges and stablecoin issuers, adding that some exchanges had already frozen addresses linked to the incident.

WEMIX temporarily suspended all bridges connected to its layer-1 network, WEMIX3.0, including Chainlink CCIP and the PLAY Bridge. It also suspended trading in affected liquidity pools, withdrew foundation-provided liquidity, and paused services including the WEMIX$ Module and PNIX decentralized exchange. The company said the cause and full impact remain under investigation and warned that the preliminary figures could change.