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Hackers steal NFT from Nifty Gateway users

 


Some users of the NFT digital art market called Nifty Gateway reported that hackers stole thousands of dollars worth of digital works from their accounts.

Registered credit cards were also used to purchase additional NFT, which also cost thousands of dollars, which were then transferred to the account of a hacker.

Nifty Gateway, a market where users can buy, sell and display digital items, confirmed in a statement that some accounts that do not contain binary authentication have been compromised and are in contact with those affected, but said they have seen no evidence of a breach of their platform.

Nifty Giveaway suggests that hackers may have succeeded in reusing login data leaked from other services.

"We have not seen any indication of a breach of the Nifty Gateway platform, and our team is reaching out to a small number of users who appear to have been affected by the takeover of the account," the statement said.

"Our initial assessment indicates that the impact was limited, 2FA binary authentication was not enabled for any of the affected accounts, and access was obtained through valid account data."

Over the past few weeks, many of the irreplaceable icons have suddenly become high-value assets, with Grimes selling a series of 10 digital artworks for about $6 million, and digital artist Beeple selling digital artwork for $69 million at Christie's.

Accordingly, it is not surprising that NFT platforms become targets for hackers looking to steal digital artwork sought or take credit card information to buy more.

To help prevent future breaches, Nifty Gateway recommends enabling binary authentication.

"We encourage our users to enable our binary authentication across the platform and never reuse passwords, and we have seen some reports that the non-replaceable codes involved in these account acquisitions were sold in transactions negotiated via Discord or Twitter, and we strongly encourage all Nifty Gateway customers to purchase non-replaceable codes from the nifty Gateway official marketplace," the statement said.

Given the blockchain-based nature of NFT, Nifty Giveaway does not control the NFT once it is stolen, so it seems unlikely that affected users will be able to recover their lost collections.

Although hackers have sought bitcoins and other cryptocurrencies in the past to make money, the NFT is unique in that it cannot be replaced by another NFT in the same way as bitcoin, as the elements they represent are unique.

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