2024

Solana

Discord

Read

Details of the supposed hack were being discussed in real time as members of the decentralized autonomous organization (DAO) mulled involving U.S. law enforcement.&nbsp; 
The so-called Saga DAO lost a chunk of its treasury. Around $60,000 in Solana (<a href="https://crypto.news/price/solana/" target="_blank" rel="noreferrer noopener">SOL</a>) was lost following a “remote hack” suffered by one of the DAO’s founders, known by the pseudonym zkRedDevil. 
They <a href="https://x.com/zkRedDevil/status/1750167015749284306?s=20" target="_blank">claim</a> hackers attacked their home PC and drained assets belonging to the Solana mobile fan club and personal funds. Due to this incident, 700 SOL of the Saga DAO’s money and a separate 50 SOL were transferred from a wallet with multi-signing security measures.&nbsp; 
The funds were then sent to another address that many believe is controlled by zkRedDevil. 
<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter">
 <div class="wp-block-embed__wrapper"> 
 <blockquote class="twitter-tweet" data-width="550" data-dnt="true">
 Hello everyone Today is the worst day of my life. Quick summary of the facts. I was the victim of a remote hack (don't know the exact term for this kind of hack) on my pc at home All my personal funds were drained. As far as dao is concerned, I set up a multi-sig Wallet…— zkRedDevil (@zkRedDevil) <a href="https://twitter.com/zkRedDevil/status/1750167015749284306?ref_src=twsrc%5Etfw" target="_blank" rel="noopener">January 24, 2024</a>
 </blockquote>
 <script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script> 
 </div>
</figure> 
Another Saga DAO founding member Ashen opposed the story from zkRedDevil and accused them of stealing funds on the group’s Discord server.&nbsp; 
<blockquote class="wp-block-quote"> 
 “That mf zk sent me pics of his kids! I thought that’d be enough to trust him but I guess not… Even though there could’ve been a hack on his side, it just seems unlikely so no, I don’t believe that (also deleted his previous announcement)” <cite>Ashen, Saga DAO’s Discord moderator</cite>
</blockquote> 
 You might also like: <a href="https://crypto.news/north-korean-crypto-hackers-raided-600m-in-2023/"> North Korean crypto hackers raided $600m in 2023 </a> 
zkRedDevil insisted they were innocent and transferred ownership of Saga DAO’s Discord to another person of the 12-member council credited for founding the group.&nbsp; 
Participants in the DAO were also discussing new leadership at press time, as the organization retained 30% of its treasury. Also on the agenda were punitive measures against zkRedDevil and any other individual found to be involved in the theft. Many members proposed involving the FBI or other law enforcement agencies. 
<figure class="wp-block-image size-full">
 <img loading="lazy" decoding="async" width="2132" height="1160" src="https://crypto.news/app/uploads/2024/01/Screenshot-210.png" alt="Community-run Solana mobile DAO puzzled over $60k hack - 23" class="wp-image-14242064">
 <figcaption class="wp-element-caption">
 Ashen from Saga DAO | Source: <a href="https://discord.com/channels/1187875844656464024/1187877359014117496/1199751323231457410" target="_blank" rel="noreferrer noopener">Discord</a>
 </figcaption>
</figure> 
The incident underscores the pitfalls of engaging in <a href="https://crypto.news/us-senator-warren-to-reintroduce-bill-on-daos-and-defi-platforms/">DAOs</a> run by pseudonymous personalities. This issue is also present throughout the cryptocurrency ecosystem, and many users have experienced rug pulls, finding it hard to track down culprits since their identity may be unknown.&nbsp; 
Lawmakers like Senator Elizabeth Warren have <a href="https://crypto.news/us-senator-warren-to-reintroduce-bill-on-daos-and-defi-platforms/">pressed</a> for guardrails around these DAOs and defi protocols. 
However, blockchain proponents and stakeholders have argued in front of Congress and courthouses against blaming technology for criminal activity. There is instead, an <a href="https://crypto.news/crypto-lobbying-surges-in-2023-amidst-stablecoin-regulation-push/" target="_blank" rel="noreferrer noopener">agitation</a> for rules and laws with provisions for recompense where needed.&nbsp; 
According to Wyoming Senator <a href="https://crypto.news/senator-lummis-shows-support-for-coinbase-against-sec/" target="_blank" rel="noreferrer noopener">Cynthia Lummis</a>, bad actors are the problem, not cryptocurrency. 
 Read more: <a href="https://crypto.news/sen-lummis-crypto-not-the-problem-bad-actors-are/"> Sen. Lummis: Crypto not the problem, bad actors are </a>

Community-run Solana mobile DAO puzzled over $60k hack

crypto.news

Other articles published on Jan 24, 2024

Celsius Shifts $40 Mln Ethereum To Coinbase Amid ETH Price Dip To $2,200

Algotech (ALGT) Or Dogecoin (DOGE)? Millionaire Investor Shift Focus to New Opportunities

Bitwise Innovates with On-Chain Transparency for Bitcoin ETF

BONK, SHIB, DOGE recovers from slump, BTC regains $40k

Prosecutors Request Detention of ACE Exchange President Amid Fraud Probe

Best Affordable Cryptocurrency To Buy This Week

Join our free newsletter for daily crypto updates!