Four.Meme Faces Major Security Breach, Suspends Token Trading

Four.Meme, a recently deployed meme coin launchpad on Binance Smart Chain (BSC), has suffered a malicious attack, forcing the platform to suspend token trading.

The attack highlights crypto projects’ constant threats, with bad actors progressively looking for ways to disrupt innovation.

Four.Meme Responds to Security Breach

The team confirmed the security breach in an official statement on X (Twitter). In addition to assuring users that internal funds remain safe and that their development team is already working on a fix, the platform halted decentralized exchange (DEX) trading.

“We are currently experiencing a malicious attack, and our team has intervened immediately to address the issue. To ensure security, token trading on DEX has been temporarily suspended and will be reopened once our development team completes the fix. Rest assured, internal funds are SAFU and unaffected by this attack. We will continue to monitor the situation and provide timely updates to the community,” the platform assured.

Nevertheless, on-chain security firm PeckShield reported estimated losses of $183,000 following the hack.

“four_meme has reported suffering an exploit, resulting in a loss of ~$183K,” PeckShield posted on Twitter.

In a follow-up post, Four.Meme specified temporarily suspending token LP launched on PancakeSwap. Trading will be reopened once the development team completes the fix, but on-chain trading operates normally.

The hack comes only days after Four.Meme set a record for new users and token launches. According to data from Dune, the daily new users metric peaked on February 9 at 11,473 unique addresses.

As of this writing, however, this metric is down to 2,169 addresses, highlighting the influence of network attacks on user trust.

However, the all-time unique user metric, which shows how many addresses have joined the platform since inception, now records 55,661 accounts. This is not a mean feat considering the level of competition in the space, running alongside Solana’s Pump.fun and Tron’s SunPump, among others.

Nevertheless, this rapid growth has also made Four.Meme a target for exploits.

“BNC was the first one to be ‘rugged’; we’ve been waiting on a fix for more than 4 hours. Hope you get it fixed soon,” one user shared.

The attack has raised concerns about the security of meme coin launchpads, as similar incidents have plagued the crypto industry. This incident mirrors a previous attack on Solana-based meme coin launchpad Pump.fun. On May 16, 2024, the platform suffered a flash loan attack. Hacker Jarett Dunn drained funds before being arrested for orchestrating a $1.9 million exploit.

Meanwhile, SimilarWeb data shows that the platform’s traffic has tripled in the past 3 months, from 7,000 to over 20,000. Interestingly, Vietnamese investors currently account for more than 43% of Four.Meme’s traffic, followed by the US.

As the investigation into the attack continues, Four.Meme’s response will be crucial in maintaining user trust. The platform’s recent surge in popularity makes it an attractive target for hackers. Moreover, its ability to secure the ecosystem will determine its long-term viability.