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Gala Games Dismisses Hacking Speculations After GALA Plunged 90%

Chayanika Deka Nov 4, 2022 11:09
Its native token GALA crashed by over 25% in a matter of 2-hours as a result of the initial panic before slightly recovering.

Blockchain-based gaming platform Gala Games claimed that “everything is fine” after reports of billion-dollar-rug pull surfaced.

It all started with a misconfiguration of the pNetwork bridge triggering the additional issuance of GALA GAME, following which a large number of additional tokens were recharged and sold on Huobi. This, in turn, caused GALA to fall by 90% on some cryptocurrency exchanges at one point.

  • To avert risks to user accounts, Huobi decided to temporarily delist the token.
  • Jason Brink, the president of the blockchain firm, also revealed that pNetwork was behind the “unusual activity” detected on PancakeSwap that was working to drain the liquidity pool in a bid to protect it from being maliciously exploited.
  • The gaming company further stated that all GALA tokens on Ethereum, as well as GALA-related assets on the GALA bridge, were safe, and the team joined forces with the pNetwork to temporarily halt transaction activity on the bridge.
  • Brink urged users not to purchase pGALA on PancakeSwap for the time being.
  • For the uninitiated, pNetwork happens to be a cross-chain interoperability bridge used by Gala Games on the Binance Smart Chain (BSC).
  • Shedding more light on the entire incident, pNetwork tweeted,

“Yes, we noticed pGALA wasn’t to be considered safe anymore and coordinated the white hat attack to prevent pGALA from being maliciously exploited. Funds are safe but users should NOT transfer or buy/sell pGALA on pancakeswap.”

  • The bridge also confirmed that a new pGALA token will be created to replace the older compromised version.
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Chayanika Deka

Chayanika has been working as financial journalist for five years. A graduate in Political Science and Journalism, her interest lies in regulatory implications with a focus on technological evolution in the crypto realm. Contact:Linkedin