BANANA Price Jumps 7% As Banana Gun Issues Full Refund to Hack Victims

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As a seasoned researcher and cryptocurrency enthusiast with years of experience under my belt, I must say that the Banana Gun saga is a stark reminder of the challenges and risks that come with the rapidly evolving world of decentralized finance (DeFi). The recent exploit, resulting in a substantial loss of user funds, underscores the need for increased vigilance and robust security measures in this space.

As an analyst, I’d rephrase it as follows: Last week, the Telegram trading bot I’ve been following, Banana Gun, encountered a significant exploit resulting in approximately $3 million worth of user funds being lost. However, the team has just announced that every one of the 11 affected users will receive a full refund from their Treasury. Consequently, the price of BANANA has spiked by over 7% within the past 24 hours.

BANANA Price Surges 7% After Addressing Vulnerabilities

An in-depth analysis of the hack incident, conducted jointly with outside security specialists, uncovered that the hacker took advantage of a weakness in the Telegram message oracle. This weakness was utilized during the recent attack, enabling manual ETH transfers from users’ wallets and resulting in substantial losses.

Therefore, the manual process for transfers and the alerts within the bot that users encountered during the attack were the primary problems. Once the team addressed the vulnerability, they reinforced the bot’s security measures and resumed its operation.

To prevent future incidents, Banana Gun has introduced several mitigation measures:

  • Firstly, they have implemented a two-hour transfer delay.
  • They have also added Two-factor authentication (2FA) for transfers.
  • The team has thoroughly reviewed both back-end and front-end systems.
  • The back end has been redeployed on new servers.
  • The Telegram trading bot conducted the investigation in collaboration with Security Alliance, a leading web3 security firm.
  • Upcoming steps include penetration testing and additional audits of the web app and Telegram bots.

Upon the announcement of the refund, I observed a significant surge in the Banana’s price, climbing approximately 7% to surpass $39.00. This move also pushed its market capitalization beyond $133.5 million. In essence, it has managed to recoup the majority of the losses experienced over the past week.

There’s been a surge in crypto hacks as of late, particularly affecting the X platform, and even some accounts belonging to executives at OpenAI have been breached more recently.

Banana Gun Hackers Targeted Crypto Veterans

As a seasoned crypto investor, I’ve recently learned about the Banana Gun hack incident where the culprits specifically targeted individuals like myself who have a robust trading history and a notable online presence. Unfortunately, this strategy resulted in substantial financial losses for those affected.

During the assault, users noticed that the attackers were transferring ETH instantly from their wallets as they received alerts from a Telegram trading bot. Interestingly, even though both versions of the Telegram-based bot – for Ethereum Virtual Machine (EVM) and Solana – had separate codebases, they were both breached. The team swiftly took action to deactivate the bot, and no more attacks followed its shutdown.

Nevertheless, following their downtime, both the Banana Gun EVM and Solana bot systems have resumed operations, leading to a surge in trading activity on the platform once more. Let’s explore some of the leading crypto trading bots predicted for the year 2024.

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2024-09-25 07:46