Sandbox, the metaverse and blockchain gaming network, halted Base and BNB Smart Chain bridging after discovering an exploit that allowed an attacker to mint unbacked tokens on those networks.
The attackers used that exploit to bridge as much as $49 billion in unbacked tokens. However, that figure does not represent money stolen or available to the attacker. It applies the SAND token’s market price to tokens created without backing, far exceeding the liquidity available to sell them.
SAND itself has a market capitalization of roughly $136 million.
The company did not define “impact” or reconcile the figure, but said the exploit represented less than 0.01% of SAND’s 3 billion token supply, equivalent to fewer than 300,000 SAND when measured directly against the supply.
Blockchain security firm Blockaid flagged the exploit while it was underway, saying the attacker had hijacked LayerZero delegate permissions through an “approveAndCall” function and minted unbacked SAND tokens.
While the exploit didn’t siphon out billions in tokens, it put the face value of the tokens created at roughly $49 billion across more than 400 transactions.
