Non-Fungible Token (NFT) Market Magic Eden has promised to refund all users who were tricked into buying fake NFTs on their site as a result of the exploit.
In the statement released on January 4, it is said: the company claims that a bug in its “activity indexer,” recently implemented in its Snappy Marketplace and Pro Trade tools, allowed fake NFTs to bypass verification and appear alongside collections of genuine NFTs.
Magic Eden claims that the ruling caused 25 fraudulent NFTs to be sold in four sets in the last 24 hours. but it confirms if other NFTs were affected after the last day.
Two of the affected projects were the ABC and y00ts collections. Based in Solana, popular and highly priced.
Basically every set is fake in Magiceden, there’s a huge amount of exploitation going on.
High-value NFTs suffer the most, as attackers choose to exploit higher-value NFTs first. pic.twitter.com/35RYHOKVxd
— HGE.SOL♂️ (@HGESOL) January 4, 2023
Do not buy these @y00tsNFTs from @MagicEden they are fake. Basically every set is fake in Magiceden; mass exploitation takes place. High-value NFTs suffer the most, as attackers choose to exploit these NFTs first.
The NFT platform said it fixed the problem by temporarily shutting down both tools and removing “entry points” that allowed unverified NFTs to pass through.
It also asked users to perform a “hard refresh” to ensure that unverified listings no longer appear in their browser session and to block the purchase of unverified NFTs. As a preventive measure.
“Magic Eden is safe to trade and we will refund all users who mistakenly purchased unverified NFTs specifically because of this issue,” he wrote.
Earlier today, unverified NFTs were showing up as part of ME’s verified sets. Over the last day, exposure was maintained on 25 unverified NFTs traded in 4 sets.
We have resolved the issue and will refund those affected. Now nobody can buy unverified NFTs with ME.
— Magic Eden (@MagicEden) January 4, 2023
Earlier today, unverified NFTs were showing up as part of ME’s verified sets. Over the last day, exposure was limited to 25 unverified NFTs traded in 4 sets. We have solved the problem and will compensate the victims. Now nobody can buy unverified NFTs with ME.
magical eden alerted first tweeted about fake NFTs on January 4th, citing community reports that people have been able to purchase fake ABC NFTs. At the time, he said he had added “layers of verification” to try to solve the problem.
Following the announcement, Twitter users continued to sound the alarm about fake y00ts NFTs. that invaded the platform. A screenshot from ABC creator “HGE” showed at least two sales worth 100 solans (SOL) each, totaling around $2,600.
DeGods, creator of y00ts too on Twitter to his followers that an exploit existed in Magic Eden that allowed unverified NFTs to be included as part of a collection.
There is currently an exploit in Magic Eden that allows unverified NFTs to be included as part of a collection.
You can check if NFT is part of the collection on our research page linked below
If it’s not in our Explorer, it’s not our NFT https://t.co/c4HKIJJD1n
— DeGods III (@DeGodsNFT) January 4, 2023
Magic Eden currently has an exploit that allows unverified NFTs to be listed as part of a collection. You can check if NFT is part of the collection on our browse page attached below. If it’s not in our browser, it’s not our NFT.
The latest exploit is the second incident Magic Eden users have had to go through this week.
On January 3, the market was filled with obscene images and serials The big bang theory.
Magic Eden said a third-party image hosting provider had been “compromised” resulting in the exposure of “unpleasant images” and assured users that their NFTs were safe.
Cointelegraph reached out to Magic Eden for comment on the situation, but did not immediately hear back.
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