Upbit had to block Aptos coin (APT) deposits and withdrawals since it mistakenly acknowledged fake APTs as true funds and demanded customers to return the funds.
Upbit, Korea’s greatest cryptocurrency exchange, lets customers to deposit fake Aptos (APTs).
Second Wu BlockchainKorea’s greatest cryptocurrency exchange, Upbit, had to announce on September 24 to halt Aptos (APT) deposits and withdrawals due to the management team’s negligence.
Breaking News: Upbit, South Korea’s greatest exchange, nowadays recognized fake APT tokens made by scammers as true APT tokens. So robots deposit a big volume of APT into quite a few consumer accounts. Upbit is calling customers who offered fake APTs to request refunds. Upbit also urgently…
— Wu Blockchain (@WuBlockchain) September 24, 2023
Specifically, it seems that Upbit produced an error in the token authentication method, main to the recognition of a coin that passes off APT as true funds and enabling customers to deposit it on the exchange. The exchange’s method nonetheless registers fake coins as true items and lets exchange for other items.
Subsequently, a big volume of fake APTs have been uploaded to the exchange, offered for funds, and then withdrawn from Upbit.
According to the account examination of Difialista Korean trader, the result in of the incident stems from the Upbit system’s APT token calculation process, which will take into consideration all tokens issued on the Aptos blockchain when uploaded to the exchange as APT coins.
⚡️How could this kind of a enormous and senseless accident transpire?
– It looks that throughout the reflection method $APT coin deposits, an error occurred in checking style arguments and all perform transfers have been acknowledged as the very same native APT token.
– Under usual situations,… https://t.co/CvDgTdqnGl pic.twitter.com/8gEx5YnOLH
— Definalista (@definalista) September 24, 2023
Upbit urges customers who have deposited fake coins to return their funds. Failure to do so will consequence in the exchange taking legal action.
It is nonetheless unclear when Upbit produced the blunder of recognizing the fake APT, as properly as the account variety concerned in the incident.
Upbit is the greatest cryptocurrency exchange in Korea, with a 24-hour trading volume reaching $one.one billion.
The price tag of APT tokens on Binance is growing somewhat following information of the Upbit incident spread.
1h chart of the APT/USDT pair on Binance at twenty:05 on September 24, 2023
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