RONNIN

Ronin Network (RON) has emerged as a leader in key blockchain performance metrics.

The Ronin Network (RON) has emerged as the leader in a key blockchain activity index, driven by key milestones in its gaming-focused ecosystem throughout 2024. On July 29, Token Terminal reported that Ronin recorded a DAU count of two million, far surpassing other active blockchains such as Tron and Solana. Tron follows with 1.8 million active users, while Solana had 1.2 million users in the same 24-hour period. Ronin's ecosystem has expanded rapidly, as highlighted in the review Mid-year prices were announced on July 23. Growth in the first half of 2024 is attributed to several key factors. Notably, the spike in trading volume on their non-fungible token (NFT) marketplace, Mavis Market, and the listing of the Ronin (RON) token on Binance provided users with a gateway to which the Ronin team describes as "a country of gamers".

In a massive blow to the cryptocurrency industry, Bybit confirmed on Friday that it had fallen victim to a highly sophisticated cyberattack, resulting in the theft of over $1.5 billion worth of #Ethereum from one of its cold wallets. This unprecedented breach now stands as the largest crypto hack to date, surpassing infamous incidents like the #RONNIN Ronin Network ($624 million) $RONIN , Poly Network ($611 million) #Polygon $POL and #bnb BNB Bridge ($586 million) $BNB exploits.

The Attack: A Deceptive Manipulation

Bybit CEO Ben Zhou revealed that the breach occurred during a routine transfer involving the exchange’s ETH multisig cold wallet. Attackers leveraged an advanced manipulation technique to alter the underlying smart contract logic while keeping the signing interface unchanged. This deception tricked the system into executing unauthorized transfers to an unknown address.

“The transaction appeared legitimate on the surface, but attackers masked the signing interface while modifying the actual smart contract logic,” Bybit explained in a statement on X. As a result, more than 400,000 ETH and stETH tokens—valued at over $1.5 billion—were siphoned off.

Lazarus Group Linked to the Breach

Blockchain intelligence firms Elliptic and Arkham Intelligence quickly identified North Korea’s state-sponsored Lazarus Group as the likely culprit. Independent researcher ZachXBT further linked the Bybit hack to a similar breach at Phemex last month, strengthening suspicions of Lazarus involvement.

North Korea has been labeled “arguably the world’s leading cyber criminal enterprise” by Google, with the Lazarus Group orchestrating numerous high-profile crypto heists to fund the regime. Last year alone, Chainalysis estimated that the group stole $1.34 billion across 47 hacks, accounting for 61% of all stolen crypto.

Elliptic reported that Lazarus follows a distinct laundering pattern, swiftly converting stolen assets into native blockchain tokens like ETH to evade asset freezes. Following the Bybit breach, stolen stETH and cmETH—valued in the hundreds of millions—were promptly converted into ETH and funneled through 50 different wallets before being exchanged for Bitcoin via platforms like eXch.

A New Era of Cyberattacks

Check Point Research noted that this attack signifies a shift in cybercrime tactics, with hackers now exploiting supply chain vulnerabilities and manipulating user interfaces rather than solely targeting protocol weaknesses.

“The Bybit incident underscores a critical security flaw—multisig cold wallets are only as safe as the individuals authorizing transactions,” Check Point warned, referencing the exploit of the Gnosis Safe Protocol’s execTransaction function to deceive signers.

TRM Labs corroborated these findings, stating with high confidence that Lazarus was behind the attack based on overlapping blockchain activity with previous North Korean-linked thefts.

Market Fallout and Customer Reassurances

News of the breach sent shockwaves through the crypto market, causing Ethereum’s price to drop over 4% as the stolen funds were offloaded. Within the first 30 minutes, nearly $200 million worth of Lido Staked Ether (stETH) had been liquidated, further amplifying market volatility.

To reassure customers, Bybit CEO Zhou emphasized that all other cold wallets remain secure and that withdrawals are operating normally. The exchange has also secured a bridge loan from undisclosed partners to cover any potential losses and ensure continued operations. However, fears of insolvency have prompted many users to withdraw funds as a precaution.

Industry Implications and Lessons Learned

This record-breaking heist underscores the vulnerabilities in the crypto ecosystem, particularly the risks associated with human error and social engineering. While cold wallets are traditionally considered secure due to their offline nature, this breach highlights the importance of improved security measures.

“Crypto heists are on the rise because of their lucrative payouts, the difficulty of tracing stolen funds, and the general lack of familiarity with Web3 security among organizations,” cybersecurity firm Mandiant warned last month.

As investigations continue, experts are urging exchanges to adopt stricter security measures, educate staff on phishing and smart contract vulnerabilities, and enhance global cooperation between law enforcement agencies and blockchain analytics firms to combat cyber threats.

For now, the crypto community anxiously awaits further updates, hoping this historic breach will serve as a catalyst for stronger security protocols. Until then, the Bybit hack stands as a stark reminder of the ever-evolving landscape of cybercrime in the digital age.

Sources:

CNBC

TechCrunch

Investing.com

The Hacker News

This article was originally published on Crypto Reporter.

Ronin, a blockchain designed for Web3 gaming, has partnered with Virtuals Protocol to incorporate an artificial intelligence (AI) agent into its platform.

Blockchain Collaboration Brings JAIHOZ Token to Ronin and Base
Virtuals Protocol, a platform merging artificial intelligence (AI) with decentralized frameworks, claims to simplify the creation and deployment of AI agents. These agents, which operate onchain or in digital environments, are said to fulfill roles as social media figures, onchain traders, or in-game non-playable characters (NPCs).
The collaboration’s flagship product is Jaihoz, an AI agent modeled after Jeffrey Zirlin, co-founder of Sky Mavis, the studio behind Axie Infinity. Virtuals reportedly designed Jaihoz to echo aspects of Zirlin’s online presence, albeit with added autonomy and personality. While Jaihoz is active on social media and intends to interact with users on Ronin’s platform, it is uncertain how impactful or beneficial these interactions will prove. These agents have been growing fiercely in popularity over the last few weeks.

JAIHOZ tokenomics according to the Ronin announcement.
Central to this venture is the $JAIHOZ token, a digital asset distributed across the Ronin and Base blockchains. With a maximum supply of 1 billion tokens, $JAIHOZ is positioned as a crucial element of the collaboration. To spur interest, over 100,000 wallets, including those linked to Ronin and Virtuals communities, received an airdrop.
Eligibility for the airdrop hinged on specific snapshot dates. Recipients include holders of designated non-fungible tokens (NFTs), such as Cyberkongz Genkai and Moki Genesis, alongside Ronin stakers and guild participants. While this distribution attempts to integrate these groups into the AI agent initiative, its broader implications of distribution effectiveness are not yet clear.
This partnership is framed as part of Ronin’s effort to broaden its blockchain’s use cases by early 2025. While Ronin expresses aspirations to move beyond gaming and attract innovative blockchain projects, the actual outcomes of this strategy remain speculative. Virtuals Protocol’s focus on AI agents is touted as a key element of this vision, but whether it fulfills the lofty expectations many see in crypto AI agents is yet to be determined.
#binance #wendy #ronnin $RONIN