Griffin AI Misused: 5 Billion GAIN Tokens Created

Griffin AI Exploit Details: Griffin AI's GAIN token was exploited due to a misconfiguration in a LayerZero peer, allowing the attacker to mint 5 billion tokens, resulting in an 87% price drop shortly after launch.

Market Reaction and Financial Impact: The exploit led to a significant decline in market capitalization, with estimates indicating that $3–$4 million was funneled through various blockchain networks before conversion, prompting exchanges to halt GAIN token activities.

Security Concerns: The incident highlights vulnerabilities in cross-chain protocols, raising concerns about security configurations and the potential for increased scrutiny on similar systems in the future.

Response from Griffin AI: In response to the exploit, the Griffin AI team withdrew liquidity from the BNB Chain to protect token holders, while ongoing investigations aim to address the security flaws that allowed the attack.