While several users claim to have lost their NFT tokens from one of the industry’s largest NFT marketplaces, Nifty Gateway, the marketplace has reported no security issues on its platform so far.
Nifty gateway The company reported on its Twitter account that it has not seen any signs of any failures or security issues on its platform, but that the team is in communication with several users who claim to have lost their NFT tokens due to a possible “account takeover”, a security flaw that has not yet been confirmed. What the market is referring to is that several users appear to be victims of the theft of their accounts and identities, which malicious actors used to appropriate the non-fungible tokens available in the affected accounts, and even buy more tokens with their credit cards.
The market of non-fungible tokens (NFT) is booming. Although these tokens were born in Bitcoin and exist in blockchain For several years now, the crypto community's interest in these unique pieces began to awaken in mid-2020, and it has intensified with impressive force so far in 2021. We have already seen major artists, musicians, athletes, and more, launch their own NFTs as works of art and crypto-collectibles, which fans have paid in the hundreds, thousands, and millions of dollars. Even the non-fungible token industry is seeing the arrival of major restaurant chains, television stations, and more organizations in the business sector, which are betting on this new technology, which promises to be the next crypto revolution.
However, the mania and frenzy that these tokens are causing in almost all spaces and in society in general, is also leading malicious actors, hackers and cybercriminals to find a lucrative, and very unethical, way to make huge fortunes. As data from DappRadarIn the last 30 days, NFTs have moved more than $550 million in value, making them a new target for hackers.
It may interest you: Is NFT immutability and trust at stake?
2FA is mandatory although it is not mandatory
Two-Factor Authentication, also known as 2FA, is an almost mandatory protection for any user who uses digital platforms. 2FA is a security method that helps users protect their accounts in case of theft or data hijacking, since in order to access the accounts it is necessary to confirm the identity of the users 2 or more times. Generally, 2FA requires passwords and one-time security codes that are sent through phone numbers, email accounts and applications, which increases security.
On Nifty Gateway, the activation of this security method is not mandatory. However, as Nifty co-founder Griffin Cock Foster expressed on his Twitter account, the NFT marketplace is exploring ways to make the activation of 2FA mandatory and essential for accounts created within the platform. This will prevent unauthorized “account takeovers” from taking place within Nifty again.
A big common mistake
According to the Nifty Gateway report, those affected were a limited group of platform users, who had in common that none had activated additional security measures. The market indicates that “none of the affected accounts had 2FA enabled and access was obtained through valid account credentials”, showing how important it is to have this security method at all times.
Among the victims of the regrettable neglect of security by users are @KeyboardMonkey3 y @michaelmiraflor who claim to have lost their NFT tokens on the platform, along with other users. According to @KeyboardMonkey3, the losses amount to more than $150 in about 25 NFT tokens.
“Someone hacked my @niftygateway account tonight and used my credit card attached to the account to purchase $20k worth of art”, @KeyboardMonkey3 noted. On the other hand, @michaelmiraflor reported that he received an alert about a sale on Nifty Gateway, but that when he logged in and verified his account to confirm the transaction, he noticed that his entire NFT collection was empty.
The NFT craze
Non-fungible tokens are becoming the thing that everyone wants to have, but perhaps, very soon, they will be “that thing” that only a handful of privileged people can have. With exuberant prices reaching several million dollars, it is not unusual for them to also be a target for hackers and cybercriminals.
The industry recently celebrated two of its most iconic sales yet. The most expensive single NFT token sold in the entire history of NFTs was the CryptoPunk 7804, which sold for no less than 7,5 million dollars. Likewise, the well-known crypto artist Beeple's, sold the most expensive crypto art collection in history so far, worth almost $70 million. Another important milestone in this growing industry, is the tweet of Jack Dorsey, CEO of Twitter and Square, which is being auctioned for $2,5 million, or about 1.630 ETH, on the Valuables by Cent platform.
Now, New York's most iconic bridge, which connects the boroughs of Manhattan and Brooklyn, is also for sale as an NFT token on the OpenSea trading platform.
Continue reading: JumpNet, Enjin's multi-chain scaling solution to connect with NFTs at no cost
