Gala Games Successfully Resolves Security Incident & Restores Affected Ethereum

Bittime - Gala Games has received back approximately $22 million worth of Ethereum from the party responsible for the May 20 security incident.

In the incident, 600 million Gala tokens worth $200 million were illegally minted and a small portion were sold before the associated wallets were frozen.

What's Wrong with Gala?

On May 21, the attacker returned 5913.2 Ethereum worth $22.3 million. This amount is close to the market value of the 600 million GALA tokens sold the previous day.

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Gala Faces Security Issues

The Gala Games team published a blog post explaining the hacking of Ethereum by hackers.

This recovery was the result of the team's quick and responsive response, as well as the involvement of federal law enforcement.

Previously, on May 20, hackers managed to exploit the Gala system and mint 5 billion GALA tokens worth USD 240 million. The Gala team swiftly acted by freezing the 4.4 billion tokens within 45 minutes, using GalaChain's new block list protocol feature.

This quick effort has proven effective in minimizing the impact of losses and shows Gala Games' commitment to protecting its users.

Important Statement from the Gala Team

On May 20, Eric Schiermeyer, co-founder and CEO of Gala, revealed in a blog post and Discord that the identities and home addresses of the perpetrators of the hack were known.

Although Gala Games has not officially confirmed the identity or modus operandi of the hack, several community members stated that Gala said the hack was carried out by a security contractor who mistakenly connected to the wallet without using a VPN.

Schiermeyer from the Gala team announced the possibility of buying back and burning GALA tokens with recovered Ethereum.

Gala Games: Governance Vote on Token Burn and Price Increase

Gala Games, a blockchain gaming platform, announced in their blog that a governance vote is underway to determine the fate of 4.4 billion blocked GALA tokens. This vote will decide whether the tokens will be burned or not.

This announcement comes after DWF Labs, an investment company, stated that it had purchased 28 million GALA tokens on the open market.

The purpose of this purchase is to stabilize the value of the token and demonstrate their commitment to the investment and security of the Gala Games community.

According to CoinGecko, the price of the GALA token reached $0.043, showing an increase of 0.4% in the last 24 hours and 9.3% over the last seven days. This price increase was most likely influenced by a combination of governance voting and token purchases by DWF Labs.

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