CityDAO Falls Victim To $95K Hack By Fraudsters On Discord

CityDao falls victim to a $95,000 hack by fraudsters on the Discord messaging app as the attacker issued a fake land drop from the compromised account as we are reading more in today’s cryptocurrency news.

CityDao as the experiment into the decentralized land ownership became a victim to a $95,000 hack by fraudsters on the messaging site Discord. The attacker hacked one of the project’s admin accounts on Discord as per the group’s Twitter account. CityDAO noted:

“EMERGENCY NOTICE. A CityDAO Discord admin account has been hacked. THERE IS NO LAND DROP. DO NOT CONNECT YOUR WALLET.”

CityDAO falls victim to a hack as the founders purchased 40 acres of land in Wyoming in November with the intention of creating a blockchain city. The project’s aim is to build a city with decentralized governance where people can buy land in the form of NFTs and CityDAO uses Discord to issue alerts known as the land drops where there are enough opportunities to buy NFTs. The attacker issued a fake land drop from the compromised account of the admin, pocketing 29.67 ETH. The affected admin tweeted that the attack was a ridiculous security breach from Discord. This is the second time that Discord got hacked and Justin Kan’s NFT platform Fractal suffered a breach at the end of December when someone hacked the project’s account to issue a link for users to promote a new NFT.

As recently reported, Looking through Discord’s support channel there are thousands of posts urging the company not to integrate crypto. There’s a reason why the critics adopted this strategy of threatening to cancel Nitro subscriptions. Nitro is Discord’s premium service that costs $9.99 per month and it allows users to have an increased upload limit, animated avatars, and more and it is also the company’s main revenue stream. The wall Street journal reported that the service earned the company $130 million a year ago and $45 million in 2019. these figures attracted many investors that were looking to bet big on the company’s future.

After the $500 million investment by Dragoneer Investment Group, the platform is now valued at $15 billion. As Discord grows beyond its roots in the world of gaming, crypto communities are playing an even more influential role in how this platform evolves. It’s still difficult to quantify the number of servers compared to all servers but Citron hinted that the company is following the demands of the fast-growing user base.