'Blockchain City' CityDAO Falls Victim to $95K Hack via Discord

The attacker issued a fake "land drop" from the admin's compromised account, pocketing 29.67 ETH ($95,000) in the process.

Jan 14, 2022 at 2:42 p.m. UTC
Updated Jan 14, 2022 at 9:54 p.m. UTC

Jamie Crawley is a CoinDesk news reporter based in London.

CityDAO, the experiment into decentralized land ownership, has fallen victim to a $95,000 hack by fraudsters on gaming instant messaging site Discord.

  • An attacker hacked one of the project's admin accounts on Discord, according to the group's Twitter account.
  • "EMERGENCY NOTICE. A CityDAO Discord admin account has been hacked. THERE IS NO LAND DROP. DO NOT CONNECT YOUR WALLET," CityDAO tweeted Monday.
  • CityDAO's founders purchased 40 acres of land in Wyoming in November with the intention of building a "blockchain city."
  • The project's aim is to build a city with decentralized governance, where "citizens" purchase land in the form of non-fungible tokens (NFTs). CityDAO uses Discord to issue alerts known as "land drops" when there are opportunities to purchase said NFTs.
  • The attacker issued a fake land drop from the admin's compromised account, pocketing 29.67 ETH ($95,000) in the process.
  • The affected admin, "Lyons800", subsequently tweeted that the attack was "a ridiculous security breach from Discord."
  • This marks a second large hack via Discord in less than a month. On Dec. 21, Justin Kan's NFT platform Fractal suffered a breach in which someone hacked the project's account to issue a fraudulent link to users promoting a new NFT, making off with around $150,000.

Read more about
The Festival for the Decentralized World
Thursday - Sunday, June 9-12, 2022
Austin, Texas
Save a Seat Now

DISCLOSURE

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.

CoinDesk - Unknown

Jamie Crawley is a CoinDesk news reporter based in London.

CoinDesk - Unknown

Jamie Crawley is a CoinDesk news reporter based in London.

Trending

1
CoinDesk - Unknown
It’s Not Just LUNA. Terra’s DeFi Apps Have Hemmorhaged $28B

Investors have largely exited the Terra ecosystem – now evident in DeFi protocols on the blockchain – and analysts remain skeptical about its long-term prospects.

Investors have largely exited the Terra ecosystem – now evident in DeFi protocols on the blockchain – and analysts remain skeptical about its long-term prospects.

CoinDesk - Unknown
2
CoinDesk - Unknown
Crypto Should Meet Same Norms as Regular Finance, G7 Says

Finance ministers want to see financial stability and money-laundering standards in effect soon, citing recent market turmoil.

Finance ministers want to see financial stability and money-laundering standards in effect soon, citing recent market turmoil.

CoinDesk - Unknown
3
CoinDesk - Unknown
Regulate Ledgers and Not Individual Crypto Providers, BIS Study Says

To make cross-border payments easier, you need to change your whole way of thinking, the authors of the BIS study found.

To make cross-border payments easier, you need to change your whole way of thinking, the authors of the BIS study found.

CoinDesk - Unknown
4
CoinDesk - Unknown
Goldman Sees Little US Economic Impact From Lower Cryptocurrency Prices

The stock market decline has had a much larger effect on U.S. household net worth, the bank said.

The stock market decline has had a much larger effect on U.S. household net worth, the bank said.

CoinDesk - Unknown