After being delisted from domestic virtual asset exchanges, the coin "WEMIX" issued by domestic first-generation game company Wemade(112040) suffered another hacking incident one year later.
According to the virtual asset industry on the 27th, on the 26th Specter, an on-chain (Blockchain network) analyst, said on X (formerly Twitter) that a hacking incident was suspected in WEMIX$, the stablecoin in the WEMIX ecosystem. Wemade posted a notice on X acknowledging a security incident about four hours later.
The incident is believed to have occurred at about 6:18 p.m. on the 26th when administrator privileges for the WEMIX$-related smart contract (Smart Contract, a Blockchain-based contract) were stolen, leading to the abnormal minting of WEMIX$ and an external outflow. Contract administrator privileges control core functions such as adjusting token issuance volume, and only a designated small number of addresses are granted administrator rights.
Using these privileges, the WEMIX$ hacker abnormally minted about $5.22 million (about 7.6 billion won) worth of WEMIX$, converted it into WEMIX and "USDC.e," and moved some assets to external networks and centralized exchanges.
USDC.e is an asset that allows the Ethereum-based stablecoin USDC to be used on other Blockchains. According to the DeFi data platform Debank, immediately after news of the hack, a wallet address (0xc92) exchanged WEMIX for USDC.e, then exchanged and dispersed it into Ethereum and Tether's dollar stablecoin USDT, among others.
A Wemade official said, "We have identified the address suspected to have been used in the attack and are conducting on-chain tracking. We are working with major exchanges and Blockchain security firms to monitor the movement of the stolen assets," adding, "If necessary, we plan to cooperate with law enforcement agencies."
WEMIX was once relisted after being delisted from domestic exchanges for false disclosure of circulating supply, but it was delisted again on June 2 last year for belatedly posting a notice three days after news of the hack. Under the guidelines of the Digital Asset eXchange Alliance (DAXA), virtual assets can apply for relisting on domestic exchanges one year after the delisting date, but WEMIX suffered another hacking incident in one year.
Wemade Chair Park Gwan-ho is in the process of selling his entire 39.33% equity stake to Neopulse (sale price about 920 billion won). Established in October last year, Neopulse is an investment firm registered as a domestic corporation, but since Hong Kong-based investment company Shensong Investment owns 100% of its equity, it is effectively classified as a Chinese company.
If Park and Neopulse complete the equity transaction procedures, including the balance payment, by Oct. 30, Neopulse will become the new largest shareholder of Wemade with a 40.25% stake when combined with its existing equity. Along with the transfer of management rights, expectations are emerging for workforce restructuring at Wemade. At the end of last year, Wemade reduced 11 departments under three centers to four to improve work efficiency.