Ethereum-based asset management protocol Gamma Strategies announced an investigation into an ongoing security incident that potentially drained at least 211.9 Ether ( ETH ).

On Jan. 4, blockchain investigator PeckShield detected an exploit worth roughly $469,000 linked to Gamma Strategies.

Gamma protocol investigates potential attack that drained Ether image 0 Gamma Strategies hacker moving stolen funds over the blockchain. Source: EtherScan

Soon after, the decentralized finance (DeFi) protocol confirmed a “possible security incident” while confirming that users were still able to withdraw their funds if they needed to. 

We're monitoring and reacting to a possible security incident. Please be patient while we take security precautions to assess the issue. If you needwith draw our front end is still up at https://t.co/p5JwV003JJ

— Gamma (@GammaStrategies) January 4, 2024

Gamma did not immediately respond to Cointelegraph’s request for comment. However, the company said it would reveal further details about the incident post-investigation in X (formerly Twitter) post.

Moreover, Cointelegraph also noticed a fake verified X account impersonating Gamma’s social media presence amid the confusion. The fake X account was trying to redirect the actual investors to a phishing website while urging “all users to revoke all approvals to prevent loss of funds,” as shown in the screenshot below.

Gamma protocol investigates potential attack that drained Ether image 1 A verified account impersonating Gamma Strategies for phishing attacks. Source: X 

The fake post garnered more likes and views than the original Gamma tweet warning about the security incident. Until investigations conclude, investors are advised to double-check all links and ensure that they only interact with Gamma through official channels.

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After suffering a $49 million exploit, KyberSwap announced to cut its workforce by 50% to keep the firm’s business operations up and running

In the past month, KyberSwap has faced unprecedented challenges due to the Elastic exploit. Despite this, I am grateful to say that our core business, including the Aggregator and Limit Order functions, remains robust.

Moreover, we will soon be launching our Zap API, an…

— Victor Tran (@vutran54) December 25, 2023

To further slow down the rate of capital expenditure, Kyber Network’s CEO Victor Tran said Kyber Network has temporarily paused its liquidity protocol initiatives and KyberAI project. However, its core business — KyberSwap’s Aggregator and Limit Order functions — remains operational.

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