The VeChain (VET) buyback program, which boosted the token price, was shaken by a recently discovered loss from the central wallet. The most probable cause was an insider gaining access to the wallet’s private keys, or a human error leading to an exploit.
Insider Procedure Flaws Led to Theft
VeChain reported 1 million coins lost and has already notified exchanges of the asset movements and involved addresses. The team has also contacted law enforcement in Singapore, as announced in the blog message.
Security breach was most likely due to 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 this misconduct, due to human error
The team also reached out to the experts from Hacken to track the wallets and the possible vectors of attack.
The news immediately crashed the VET asset price, which sank by more than 5% in the last hour, to $0.005. VET had just been picking up…