Cryptocurrency, News, NFT

OpenSea Loophole Offered NFTs At A Fraction Of Market Price

Buyers had the opportunity to get popular NFTs at prices that were older and cheaper. For example, a Bored Ape Yacht Club NFT, initially valued at 128 ether, was sold for 87 ether, resulting in a difference in profit of $90,000.00.

OpenSea Twitter Statement

Non-fungible tokens, often known as NFTs, are digital receipts of pictures saved on the blockchain. Buyers only get ownership of the code that underlies the reproduction, sometimes known as a “token,” and not the rights to the original picture.

According to a tweet published by OpenSea on Monday, the biggest marketplace for non-fungible tokens (NFTs) said, “Listings placed a long while ago are resurfacing as things move back into listers’ wallets.” “We cannot rescind these orders for listers; thus, to address this issue, we have now introduced a new listings manager.”

Since January 1, it has been possible to take advantage of the vulnerability in the twenty-four hours leading up to January 24. It had been exploited at least eight times to “steal” non-fungible tokens that had a market value of more than one million dollars, according to a blockchain analytics company called Elliptic.

There is a discrepancy between the information included in NFT smart contracts and the relevant information in OpenSea’s user interface, which results in the problem. The older contracts are not deleted from the blockchain; nevertheless, they have been removed from the view shown by OpenSea.

OpenSea Forced To Freeze NFTs Hijacked By Hackers

At the beginning of this month, OpenSea was forced to temporarily freeze any non-fungible tokens (NFTs) hijacked by hackers attempting to trade them on the platform. However, this runs counter to the decentralized ideology advocated by supporters of cryptocurrencies, who contend that blockchain technology does not need any external monitoring.

Centralized systems, such as OpenSea, are accused by naysayers of having suffered from severe security flaws. Earlier, Check Point Research discovered a security flaw in the platform that would allow hackers to take over user profiles and steal whole wallets.

“Ever since the flaw was brought to our attention by our experts, we have taken it very seriously and have been hard at work developing solutions and services for the community.” It is neither a vulnerability nor a fault that needs to be fixed; this is an issue that occurs due to the characteristics of the blockchain. OpenSea staff is unable to remove listings on a user’s behalf. 

Instead, users are responsible for canceling their postings, according to a statement sent by an OpenSea spokeswoman. Making consumers aware of their listings is a top goal for OpenSea, and we are working on various product changes to address this. 

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