UXLINK Launches 1 Billion Token Swap on Ethereum Following Security Breach

UXLINK, a social infrastructure platform connecting Web2 and Web3 users, announced a comprehensive token migration plan following a major security breach that resulted in unauthorized minting of 2 billion tokens. The Singapore-based company will swap 1 billion UXLINK tokens on a 1:1 basis to a new Ethereum mainnet contract that removes mint-burn functionality to prevent future exploits. The new contract will be 0x3991B07b2951a4300Da8c76e7d2c7eddE861Fef3 . 

The migration comes after attackers exploited vulnerabilities in UXLINK's multisignature wallet, initially minting 2 billion UXLINK tokens and causing the token's price to collapse by approximately 90%. The hack resulted in losses of approximately $11.3 million, with $4 million in USDT tokens and other stolen assets including USDC, WBTC, and ETH. One wallet received UXLINK tokens worth around $3 million and immediately began selling approximately $800,000 worth.

The attackers used a delegateCall function to remove admin roles, then added a new multisig owner with addOwnerWithThreshold, enabling them to drain assets rapidly. The breach led to a 1,700% increase in UXLINK token transaction volume as panic selling ensued, with the token losing more than $70 million in market capitalization within an hour of the attack. 

UXLINK's new smart contract has undergone security auditing and establishes a fixed token supply to ensure no additional tokens can be minted in the future. The company stated the new contract removes the mint-burn function that was exploited during the initial attack. Users holding tokens on centralized exchanges and on-chain wallets can participate in the swap either manually or through a dedicated migration portal. 

Eligibility for the token swap is determined by a snapshot taken at the time of the hacker's first transfer, ensuring legitimate holders can recover their positions while excluding unauthorized tokens created during the exploit. The migration aims to restore confidence in the platform and strengthen governance within the UXLINK ecosystem.

UXLINK operates as a social infrastructure platform designed to bridge traditional Web2 users with Web3 applications and decentralized finance protocols. The platform focuses on simplifying user interaction with decentralized applications and has been working to expand its user base across both centralized and decentralized platforms since its launch in 2023.  

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