The Solana (CRYPTO: SOL) network went offline briefly on Tuesday night following reports that private keys to hot wallets in the ecosystem had been compromised.
What Happened: Solana Status reported a “minor service outage” prompting speculation from market participants that developers had intentionally halted the network to prevent the ongoing exploit from worsening.
#Solana hack.Now, there’s a network outage.
The best way to save the chain is to get it off the internet
— Amanjot | Hiring for multiple roles (@amanmalhotra911) August 3, 2022
Update: The outage appears to be related to RPCs pinging “down”.“RPC Nodes are restoring service, appears to have been a concerted effort by some well-intentioned devs who thought spamming RPC would slow attacker, though in reality, it has just caused massive confusion,” wrote Solana validator operator Stakewiz on Twitter (NYSE:TWTR).The underlying chain appears to be operational. https://t.co/uV5Bsotf7k
— Miles Deutscher (@milesdeutscher) August 3, 2022
Ben Sparango, head of DeFi at Solana Labs, confirmed that the partial outage status was reflective of the RPC nodes pinging down.
solana is not down. RPC services that explorers are pinging are downThe RPC nodes' status means that the wallets and block explorers may not work as expected despite the fact that the underlying blockchain is still running."partial outage" on status.solana is misleading. It just means high tx volume
— SMS BEN SPARANG◎ (@bennybitcoins) August 3, 2022
Solana Status asked victims of the hack to share data of their compromised wallets in a typeform to the Solana Foundation.
There’s no evidence hardware wallets have been impacted – and users are strongly encouraged to use hardware wallets.At press time, investigations were still underway and the root cause of the exploit remained unknown.Do not reuse your seed phrase on a hardware wallet - create a new seed phrase.
Wallets drained should be treated as compromised, and abandoned.
— Solana Status (@SolanaStatus) August 3, 2022
Price Action: At press time, SOL was trading at $38.04, down 6.4% over 24 hours, as per data from Benzinga Pro.
© 2022 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.