Gamma protocol investigates potential attack that drained Ether

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Gamma protocol investigates potential attack that drained Ether

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Ethereum-based asset management protocol Gamma Strategies announced an investigation into an ongoing security incident that potentially drained at least 211.9 Ether (ETH).

On Jan. 4, blockchain investigator PeckShield detected an exploit worth roughly $469,000 linked to Gamma Strategies.

Gamma Strategies hacker moving stolen funds over the blockchain. Source: EtherScan

Soon after, the decentralized finance (DeFi) protocol confirmed a “possible security incident” but assured users they could still withdraw their funds if needed. 

Gamma did not immediately respond to Cointelegraph’s request for comment. However, in a post on X (formerly Twitter), the company said it would reveal further details about the incident after completing its investigation.

Related: Crypto hack losses declined 51% in 2023: Report

Moreover, Cointelegraph also noticed a fake verified X account impersonating Gamma’s social media presence amid the confusion. The fake X account was trying to redirect actual investors to a phishing website while urging “all users to revoke all approvals to prevent loss of funds,” as shown in the screenshot below.

A verified account impersonating Gamma Strategies for phishing attacks. Source: X 

The fake post garnered more likes and views than the original Gamma tweet warning about the security incident. Until investigations conclude, investors are advised to double-check all links and ensure they only interact with Gamma through official channels.

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