SOL declines as thousands of wallets are attacked on Solana

Following reports that thousands of wallets had been drained in an attack that appears to still be ongoing, the price of SOL, the native token of the Solana network, fell.

Over 5,000 Solana wallets have been drained in the last few hours, according to blockchain auditor OtterSec.

"This affects multiple wallets - Phantom, Slope, Solflare, TrustWallet - across a wide variety of platforms. FOR USERS, please move your assets to a hardware ledger or a centralized exchange,"  noting that "there's also been evidence of this issue affecting ETH users, although it seems less widespread."

However, other industry participants claim that over 7,000 wallets have already been impacted.

SOL is trading at USD 38.69 as of 03:52 UTC, slightly up from its earlier low of USD 38.06 reached. The price has decreased by 4% in one day.

Engineers from various ecosystems are looking into drained wallets on Solana, according to the team behind the platform. They are being assisted by a number of security firms.

They continued, "There is no evidence that hardware wallets are impacted."

Phantom added that "at this time, the team does not believe this is a Phantom-specific issue."

Anatoly Yakovenko, a co-founder of Solana Labs, claims that only a delegation for a specific token, an autoapprove, or a seed that has been leaked can transfer money on behalf of a user.

"Since system transfers are happening, that rules out delegation. There is no way an “interaction” could make a wallet vulnerable," he continued.

By fLEXI tEAM