"Little Fox Wallet Official Download" Optimistic NFT Market Quixotic Attacked After Contract Update

The NFT project Apetimism team first noticed the vulnerability, and they promptly alerted the community via Twitter in the early hours of July 1 (BST). It identified the offer functionality as the source of the vulnerability, advising members to remove open offers to protect themselves.

"Some attackers are attacking the 'quotes' function. Therefore, if you have any offers, we recommend that you remove all offers immediately."

Apetimism took this a step further, and according to their analysis, it appears that the hackers were able to transfer the offer on the NFT to their own wallets. They speculate that the hackers deployed their smart contracts to exploit the quote functionality outside of existing logic.

Optimistic NFT marketplace Quixotic under attack after contract update

Apetism reports that it has lost $100,000 so far. Since that tweet, however, analysis of the hacker's wallets has revealed several outflows of more than $100,000.

The most important single trade is $110,756, while the next most important trade is 170,882 Optimistic (OP), worth $90,500 at current prices.

Further investigation revealed that the hackers were actively splitting the stolen funds into smaller amounts and sending them to multiple other addresses.

What is Don Quixote?

Don Quixote is the largest NFT marketplace on Optimism, the second layer platform of Ethereum.

Its average transaction fee is just 0.0005 ether ($1.50), making the platform more useful for most non-financial transaction traders. The company estimates it has saved its members about $2 million in gas bills since its inception.

On-chain tracking shows that the platform has traded at $419,500 over the past 30 days, but user activity has dropped significantly since June 14.