The creators of the MyAlgo cryptocurrency wallet on the Algorand network have urged their users to withdraw all of their funds following a possible security breach.
It was reported that hackers were able to steal assets worth a staggering $9.2 million, and despite efforts to identify and eliminate the vulnerability, the developers were unable to do so.
Therefore, they have issued a statement advising all users to withdraw any funds from their wallets created using a mnemonic phrase as a precautionary measure.
The attack reportedly affected roughly 25 large wallets, resulting in the theft of over 19.5 million ALGO coins and 3.5 million USDC tokens.
While ChangeNOW was able to freeze assets for $1.5 million, the total stolen funds remain substantial. Security analysts from D13.co suspect that the passphrases were obtained through social engineering or virus attacks.
The MyAlgo developers have promised to collaborate with authorities to recover the funds and locate the vulnerability. This comes after the Edge Wallet reported the theft of 2,000 private keys by hackers earlier.