A security breach due to the misconduct one of the team members within the VeChain finance team has contributed to approximately $6.7 million worth of VET tokens being stolen.
A hacker redirected the tokens from the foundation to an anonymous wallet address in what the company believe to be a result of “human oversight.”
The security breach led to 11 million VET that were put aside for a buyback program being transferred to this address:
The VeChain foundation put out a statement yesterday saying:
“The security breach was most likely due to the misconduct of one of the team members within our finance team, who have created the buyback account without thoroughly obeying the standard procedure approved by the foundation, and our auditing team did not pick up on this misconduct due to human error.”￼
Since the hack took place the Singapore-based nonprofit has provided a detailed list of addresses associated with the hacker’s address and has asked any exchanges that identify these addresses to freeze or flag any funds coming from them.￼
The hack has caused the price to fall by over 10% over the past 24 hours, which is currently $0.005543 at the time of writing.
VeChain’s price fell yesterday after the hack was announced
Vechain is an enterprise-focused blockchain ecosystem that aims to enhance supply chain management by connecting blockchain to technology with the real world through a comprehensive governance structure, robust economic model, and advanced IoT integration.
Started in June 2015, the organisation describes itself as a pioneer of real-world applications using public blockchain technology, with international operations in Singapore, Luxembourg, Tokyo, Shanghai, Paris, Hong Kong and San Francisco.￼￼