While a new hacking incident occurs every day in the cryptocurrency market, the last victim of hackers was the decentralized cross-chain protocol Frax Finance.
At this point, while the hackers took over the domain name belonging to Frax Finance, the users who entered the site did not realize that Frax Finance was hacked because when the users entered the site, they saw the exact same interface as the platform's interface.
Hacking, which occurs in the form of Domain Name System (DNS) hijacking, occurs when users are directed to a malicious site that is exactly similar to the original site in order to provide their credentials.
Making a statement on the subject, the Frax Finance team said:
“Please do not use the frax.finance and frax.com domains until further notice.
Name. Com reached and frax. Finance and frax. Com domains are now redirected back to their proper servers and configurations.
“Tomorrow, after conducting a comprehensive investigation, it will be revealed what led to the incident.”
Speaking to Coindesk, Frax Finance founder Sam Kazemian said, “It does not seem like we did anything wrong regarding the hacking incident. Therefore, until name.com tells us that the account is safe, it is not possible for us to say that it is safe.”
Following the hack, Frax Finance's native token FXS fell approximately 5%. With this decrease, FXS fell to $ 5.67 and is traded at $ 5.72 at the time of writing.
https://t.co/gnEI5kjDki has reached out & confirmed https://t.co/cADe5RLjqv & https://t.co/AcTF8hlzaS domains are now routed back to their proper nameservers & configuration. We’ve been told they’ll explain what led to the incident after they conduct a full investigation tomorrow https://t.co/h1eE11P5wZ
— Frax Finance (¤, ¤) 🦇🔊 (@fraxfinance) November 1, 2023
*This is not investment advice.