Gifto, a prominent blockchain platform, has issued a concerning and detailed announcement regarding a major security incident involving its GFT token.
In a statement posted on the X platform, the Gifto team revealed that they have identified a “serious security incident” related to the GFT token contract.
According to the announcement, the GFT token contract has been compromised, resulting in the unauthorized issuance of additional GFT tokens beyond the intended supply.
In response to this critical breach, Gifto has urgently requested that all exchanges currently listing the GFT token immediately halt all trading activities.
The company has assured users that it is conducting a thorough investigation into the matter and is taking the necessary measures to resolve the issue as quickly as possible.
Previous Delisting and Controversial Token Transfer
This latest security incident follows earlier news regarding Gifto and the GFT token. Prior to the reported hacking, Binance had announced plans to delist the GFT token from its platform on December 10th, followed by OKX announcement of same.
In what was seen as a controversial move, the Gifto project responded by issuing 1.2 billion additional GFT tokens and transferring them to multiple exchanges.
This action, undertaken in the immediate aftermath of the Binance delisting announcement, raised significant concerns within the cryptocurrency community about the Gifto team’s transparency and potential mismanagement of the project’s token supply.
Gifto (GFT) Price Action and Market Capitalization
Despite the negative news surrounding the GFT token, the price of Gifto’s cryptocurrency has seen a significant surge in the past 24 hours.
The token’s current price stands at $0.01078, representing a remarkable 51.63% increase over the previous day’s trading.
However, this sharp price rise contrasts sharply with the -43.55% decline observed in the token’s value over the past 7 days.
With a circulating supply of 2.2 billion GFT, the Gifto project currently boasts a market capitalization of $20,978,080. This highly volatile price action, combined with the underlying security concerns, has understandably raised questions about the overall stability and reliability of the Gifto ecosystem.
Ongoing Investigation and Lingering Transparency Concerns
In its official statement, Gifto has acknowledged the gravity of the situation and has assured users that it is actively investigating the security breach.
The company has committed to taking the necessary measures to resolve the issue and restore trust in the GFT token.
However, the previously mentioned incident involving the mass issuance of additional GFT tokens, coupled with the current hacking revelations, has significantly eroded confidence in the project’s management and transparency.
As Gifto works to address the situation, the cryptocurrency community will closely monitor the company’s actions and communications to assess the full extent of the damage and the effectiveness of the remedial measures undertaken.