Web3 social platform reels from one of 2025’s largest security breaches
UXLINK, a project positioning itself as a Web3 social platform, confirmed a major exploit of its multisig wallet that allowed a hacker to seize admin privileges, mint new tokens, and siphon funds across centralized and decentralized exchanges.
Hacker gains admin rights, drains millions
Blockchain security trackers first flagged suspicious activity when an attacker executed a delegateCall, removed the platform’s admin role, and installed a new multisig owner. This gave the hacker full control over token minting.
According to on-chain data, the attacker transferred at least $4 million in USDT, $500,000 in USDC, 3.7 WBTC, and 25 ETH before liquidating large volumes of UXLINK tokens. Analytics firm Lookonchain estimated the hacker obtained 6,732 ETH (≈$28.1 million) by dumping tokens across DEXs.
Token minting spirals out of control
The exploit escalated further when the attacker minted approximately 10 trillion UXLINK tokens late Monday, causing catastrophic market dilution. Following the unauthorized minting, the token’s price plunged by over 70% to $0.08912, according to market data.
“We have identified an unauthorized minting of UXLINK tokens today by a malicious actor,” the project wrote on X, warning community members to avoid trading on DEXs until further notice.
Exchanges intervene, recovery plan underway
In response, major exchanges froze large portions of the hacker’s assets to prevent further sell pressure. UXLINK announced it is in talks with multiple trading venues to temporarily suspend token trading and will soon introduce a token swap plan aimed at restoring stability.
A security researcher commented, “This case underscores the critical risk of compromised multisig wallets. Losing admin rights effectively hands over the project’s entire treasury to attackers.”
The exploit has rattled investors, with UXLINK’s market capitalization shrinking dramatically overnight. While freezing assets helped contain some losses, confidence remains fragile as the team scrambles to regain control and rebuild trust.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.