Bittensor Network in 'Safe Mode' Following Exploit
The Bittensor network, a top decentralized AI project, is currently in safe mode after developers halted the blockchain following a security exploit that targeted several wallets.
What’s the scoop?
- Exploit Details: Onchain analyst ZachXBT reported potential thefts linked to leaked private keys.
- Community Response: A Discord admin announced that transactions have been paused to prevent further unauthorized access.
- Financial Impact: ~$8M worth of TAO was stolen, with the token slipping 15% on the news.
Bankless Take:
Bittensor now joins the rank of chains like Base, Blast, Arbitrum, Polygon, and Solana with halted activity. A decentralized network for specialized machine learning, Bittensor is composed of over 30 purpose-built subnets, each tailored to specific data or tasks, such as image generation (SN19), transcription (SN11), advertising (SN16), and signals for trading (SN8). After climbing from $50 last October to $730 in March, TAO’s slipped back down to $238. Despite this, over 80% of the TAO in circulation remains staked by the network's ~82K active wallets.
Bittensor wallets got hacked and $8M worth of $TAO got drained.
— Kingpin Crypto (@Kingpincrypto12) July 3, 2024
All $TAO transactions on Bittensor have been halted.
Price nuked 15% of off this news.
Validators have confirmed that their systems remain secure, and the Bittensor team is actively working to resolve the issue. pic.twitter.com/UhLtiZSxkB