- Buy Crypto
- Markets
- Futures
- Spot
- Copy Trade
Earn- More
Flow Security Incident Review: Type Confusion Vulnerability in Cadence Identified as Key Factor
BlockBeats News, January 7th, Folw released an attack event retrospective report, stating that the attacker exploited a Flow Network vulnerability to mint fake tokens, stealing approximately $3.9 million through a bridging attack. This attack did not access or leak any existing user balances. The attack duplicated assets but did not touch legitimately held assets, with the majority of the fake assets either stored on-chain before liquidation or frozen by exchange partners. Network validators have approved a decentralized governance action authorizing the permanent destruction of all fake assets. The network resumed operation on December 29th, is currently running smoothly, and all transaction history has been preserved.
The attacker sequentially deployed over 40 malicious smart contracts, leveraging a three-stage attack chain: 1) bypassing attachment import verification; 2) circumventing defense checks of built-in types; 3) exploiting a contract initializer semantic vulnerability. The root cause was a type confusion vulnerability in the Cadence runtime (v1.8.8), which has now been patched (v1.8.9 and higher versions). This vulnerability allowed the attacker to disguise protected assets (which should not be duplicable) as standard data structures (which are duplicable), bypassing runtime security checks and enabling token minting.
In addition to moving assets out of Flow, the attacker also attempted to deposit fake FLOW on several centralized exchanges, but due to the abnormal transaction volume and internal anti-money laundering protocols, multiple exchanges froze the deposit upon receipt. Approximately 50% of the fake FLOW deposits have been returned and destroyed by cooperating exchanges (such as OKX, Gate, MEXC), while the foundation continues to actively coordinate with other exchange platforms.
You may also like
Russia’s Largest Bitcoin Miner BitRiver Faces Bankruptcy Crisis – What Went Wrong?
Key Takeaways BitRiver, the largest Bitcoin mining operator in Russia, faces a bankruptcy crisis due to unresolved debts…
Polymarket Predicts Over 70% Chance Bitcoin Will Drop Below $65K
Key Takeaways Polymarket bettors forecast a 71% chance for Bitcoin to fall below $65,000 by 2026. Strong bearish…
BitMine Reports 4.285M ETH Holdings, Expands Staked Position With Massive Reward Outlook
Key Takeaways BitMine Immersion Technologies holds 4,285,125 ETH, which is approximately 3.55% of Ethereum’s total supply. The company…
US Liquidity Crisis Sparked $250B Crash, Not a ‘Broken’ Crypto Market: Analyst
Key Takeaways: A massive $250 billion crash shook the cryptocurrency markets, attributed largely to liquidity issues in the…
Vitalik Advocates for Anonymous Voting in Ethereum’s Governance — A Solution to Attacks?
Key Takeaways Vitalik Buterin proposes a two-layer governance framework utilizing anonymous voting to address collusion and capture attacks,…
South Korea Utilizes AI to Pursue Unfair Crypto Trading: Offenders Face Severe Penalties
Key Takeaways South Korea is intensifying its use of AI to crack down on unfair cryptocurrency trading practices.…
Average Bitcoin ETF Investor Turns Underwater After Major Outflows
Key Takeaways: U.S. spot Bitcoin ETFs hold approximately $113 billion in assets, equivalent to around 1.28 million BTC.…
Japan’s Biggest Wealth Manager Adjusts Crypto Strategy After Q3 Setbacks
Key Takeaways Nomura Holdings, Japan’s leading wealth management firm, scales back its crypto involvement following significant third-quarter losses.…
CFTC Regulatory Shift Could Unlock New Opportunities for Coinbase Prediction Markets
Key Takeaways: The U.S. Commodity Futures Trading Commission (CFTC) is focusing on clearer regulations for crypto-linked prediction markets,…
Hong Kong Set to Approve First Stablecoin Licenses in March — Who’s In?
Key Takeaways Hong Kong’s financial regulator, the Hong Kong Monetary Authority (HKMA), is on the verge of approving…
BitRiver Founder and CEO Igor Runets Detained Over Tax Evasion Charges
Key Takeaways: Russian authorities have detained Igor Runets, CEO of BitRiver, on allegations of tax evasion. Runets is…
Crypto Investment Products Struggle with $1.7B Outflows Amid Market Turmoil
Key Takeaways: The recent $1.7 billion outflow in the crypto investment sector represents a second consecutive week of…
Why Is Crypto Down Today? – February 2, 2026
Key Takeaways: The crypto market has seen a downturn today, with a significant decrease of 2.9% in the…
Nevada Court Temporarily Bars Polymarket From Offering Contracts in the State
Key Takeaways A Nevada state court has temporarily restrained Polymarket from offering event contracts in the state, citing…
Bitcoin Falls Below $80K As Warsh Named Fed Chair, Triggers $2.5B Liquidation
Key Takeaways Bitcoin’s price tumbled below the crucial $80,000 mark following the announcement of Kevin Warsh as the…
Strategy’s Bitcoin Holdings Face $900M in Losses as BTC Slips Below $76K
Key Takeaways Strategy Inc., led by Michael Saylor, faces over $900 million in unrealized losses as Bitcoin price…
Trump-Linked Crypto Company Secures $500M UAE Investment, Sparking Conflict Concerns
Key Takeaways A Trump-affiliated crypto company, World Liberty Financial, has garnered $500 million from UAE investors, igniting conflict…
Billionaire Michael Saylor’s Strategy Buys $75M of More Bitcoin – Bullish Signal?
Key Takeaways Michael Saylor’s firm, Strategy, has significantly increased its Bitcoin holdings by acquiring an additional 855 BTC…
Russia’s Largest Bitcoin Miner BitRiver Faces Bankruptcy Crisis – What Went Wrong?
Key Takeaways BitRiver, the largest Bitcoin mining operator in Russia, faces a bankruptcy crisis due to unresolved debts…
Polymarket Predicts Over 70% Chance Bitcoin Will Drop Below $65K
Key Takeaways Polymarket bettors forecast a 71% chance for Bitcoin to fall below $65,000 by 2026. Strong bearish…
BitMine Reports 4.285M ETH Holdings, Expands Staked Position With Massive Reward Outlook
Key Takeaways BitMine Immersion Technologies holds 4,285,125 ETH, which is approximately 3.55% of Ethereum’s total supply. The company…
US Liquidity Crisis Sparked $250B Crash, Not a ‘Broken’ Crypto Market: Analyst
Key Takeaways: A massive $250 billion crash shook the cryptocurrency markets, attributed largely to liquidity issues in the…
Vitalik Advocates for Anonymous Voting in Ethereum’s Governance — A Solution to Attacks?
Key Takeaways Vitalik Buterin proposes a two-layer governance framework utilizing anonymous voting to address collusion and capture attacks,…
South Korea Utilizes AI to Pursue Unfair Crypto Trading: Offenders Face Severe Penalties
Key Takeaways South Korea is intensifying its use of AI to crack down on unfair cryptocurrency trading practices.…
App