Telcoin Halts Operations After Security Breach

Telcoin, a decentralized finance (DeFi) platform that halted operations days ago, broke its silence today to provide customers with an update on the recent security breach.

The Telcoin team declared progress on the issues in a post published on X (previously Twitter), captioning the update:

 “We have internally confirmed our assessment of the situation and that our fix was successful.”

Additionally, the group affirms its intentions to recommence activities on its infrastructure as soon as purses are restored to their initial balances. In addition, once services were restored, Telcoin pledged a more comprehensive explanation of the incident.

Once more, the update, the first since December 26, neglected to address the purported breach on its platform.

Telcoin attributed the suspension in the update dated December 26 to a technical violation caused by complications with the proxy implementation of wallets on Polygon.

In addition, the recent update neglected to rectify the vulnerability that PeckShield identified on the platform.

Significantly, the cybersecurity firm revealed that in the early hours of December 25, a $1.3 million vulnerability was discovered in Telcoin.

In response, a user on X identified as “TheBlockTake” postulated that Telcoin’s strategy would involve the reversal of unauthorized transactions, reimbursement of customers’ insurance claims, and restoration of services to their pre-hack state.

Investor selling of Telcoin persists in the interim. According to data as of press time, the token has declined by 33.9% over the previous week.

In contrast, the token has gained only a little over the last twenty-four hours, indicating that investors have been largely unaffected by the update from Telcoin.