The Telcoin (TEL) token’s price fell by a concerning 40% post the exploit.
The firm reassured customers that the incident did not impact any private keys or data.
A significant platform vulnerability was discovered at Telcoin, a developer of mobile-focused financial applications. Peckshield, a blockchain security business, and the Telcoin Discord community forum both acknowledged that the attack caused users to have over $1.2 million stolen from their accounts.
As a result of a glitch with the company’s wallet on the Polygon blockchain, the Telcoin (TEL) token’s price fell by a concerning 40%.
App Momentarily Suspended
The reaction from Telcoin to the exploit was lightning fast. So that no further fraudulent transactions might occur, the firm has momentarily suspended the app. According to the company’s exhaustive explanation, the vulnerability was associated with the wallet’s proxy implementation on Polygon.
The majority of accounts impacted by this problem were those who had never used the company app to conduct a transaction before. The firm did, however, reassure customers that the incident did not impact any private keys or sensitive data.
Additional research disproved the hypothesis that a bug in the Telcoin Wallet source code was the culprit. It had more to do with how the wallet communicated with the Polygon network. A fix to prevent future exploitation of this issue was successfully released. The swift and efficient reaction demonstrates the firm’s dedication to safeguarding users and their information.
In addition, Telcoin has promised to return the funds in all impacted wallets to their original amounts. The firm’s commitment to its users and the platform’s integrity is shown by this pledge. However, the price of TEL suffered drastically and is still down 35.65% in the last 24 hours, trading at $0.001512 as per data from CoinMarketCap.