Fusion Foundation Wallet Theft Update: 10/1st
This is an update on Fusion’s efforts on tracking and dealing with the cybercrime executed against the Foundation’s swap wallet on 9/28th.
To emphasize:
- The Fusion protocol and technology itself is secure. The hack was executed by theft of a private key.
- As of this writing, only the swap wallet has been affected and we have not have not received any report that other holders’ wallet were impacted.
Update on Investigation
The criminal is sophisticated and organized, having opened accounts at Exchanges to liquidate the stolen token well in advance of the theft.
We continue to cooperate closely with exchanges tracing transactions and identifying which accounts are related to the criminal. Exchanges have stopped trading from these relevant accounts, controlling the loss to token holders going forward. We are going through final transaction audits with Exchanges and will share information on status (how many sold/how many frozen/where tokens are) of the stolen tokens tomorrow.
Furthermore, we have filed police reports — this was a crime, and will be handled by the authority as such. The full power and reach of the law enforcement agencies will be behind tracking down the criminal.
Next Steps
The most important action ahead of us is to prevent the hacker from monetizing the remaining balance of stolen tokens that have not been liquidated. The Foundation is weighing various options, but at this time, can not share exact details as it will tip off the criminal and may affect impact of our actions. We can share that our first priority is to protect token holders, and second priority is fairness to participants.
Outside of this initiative, operations remain business as usual. The project’s survival is not in question. Our funds are safe and we continue to move forward on our technical innovation and meeting our milestones. In addition, we have strengthened internal processes to prevent this type of hack from occurring in the future.
Which Exchanges are Safe?
At the moment, buying in Huobi，Okex，Bitmax，Bibox，Hotbit，and Citex are safe. We are actively working with other exchanges as well.
We thank all Exchanges, especially those listed above, and community members for their quick cooperation and suggestions to track down the criminal. This unity is a great banner for the industry maturity. Together, we are showing the world that digital assets are not the Wild West, and we are all intent on creating a safe environment for all by rooting out cyber criminals.
We will continue to provide updates in the coming days, and we are confident that foundation and community can recover.
