Ether Draining Exploit Investigated By Gamma Protocol

Decentralized asset management protocol based on Ethereum Gamma Strategies has reported that they are conducting an investigation into a security incident that is now occurring and has the potential to drain at least 211.9 Ether.

Blockchain investigator PeckShield discovered an exploit worth approximately $469 thousand connected to Gamma Strategies on January 4.

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

Almost immediately after that, the protocol for decentralized finance (DeFi) acknowledged that there was a “possible security incident,” but it informed users that they could still withdraw their assets if they were required to do so.

On the other hand, the business stated in a post on X (which was formerly known as Twitter) that it would disclose additional information regarding the incident once it had finished its investigation.

Additionally, amid the turmoil, It was discovered that a phony verified X account was imitating Gamma’s presence on social media.

The screenshot that follows shows that the phony X account attempted to send genuine investors to a phishing website while also encouraging all users to revoke approvals to prevent loss of funds.

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

The actual Gamma tweet that warned of the security incident received fewer likes and views than the phony post, which received more likes and views.

Strongly encourage investors to double-check all links and ensure they contact Gamma only through legitimate methods until the investigations are completed.