NFT platform NFPrompt alerts FBI after hack compromises multiple wallets

NFPrompt users have been alerted to a security breach that warns ‘a group of hackers’ gained control of wallets including the project’s treasury, ecosystem fund, and NFP token contracts.

In response, the team states that it has “transferred all NFP’s smart contract ownerships to new addresses” as well as alerting the FBI and major exchanges.

It also warns users against interacting with NFP from unknown sources, as funds “affiliated with the hackers will be marked and forfeited.”

The team hasn’t yet given details on the amount of funds stolen. The project’s docs don’t list contract addresses and indicate that audits are yet to be completed.

Read more: Seneca Protocol hack highlights dangers of Ethereum’s token approval mechanism 

According to data from CoinMarketCap, the NFP token is down 12% over the past 24 hours, though so is much of the market as bitcoin’s recent momentum began to reverse.

Much of the hype around non-fungible tokens (NFTs) during 2021 surrounded its potential to empower artists to sell their work directly, skirting intermediaries and the perceived gatekeeping of the art world.

Beeple’s Everydays sold for $69 million in March 2021, a record broken later that year by The Merge, which went for $92 million in December.

NFPrompt allows for the same, but for “Prompt Artists” who, rather than create the art themselves, can “mint their imagination” via NFTs of AI-generated imagery.

The project was featured on Binance’s Launchpool, which allows users to stake assets in order to ‘farm’ new tokens, in December.

Read more: Phishing scam uses Beeple’s Twitter to steal $400k in crypto and NFTs 

NFT ‘use’ cases

Aside from art, proponents of NFTs have claimed a wide variety of ‘use’ cases, with varying levels of adoption.

During the past crypto cycle, NFT-linked gaming looked to be developing into a promising sector, with popular play-to-earn Axie Infinity being the prime example.

Read more: Axie co-founder hacked for $10M two years after $625M Ronin attack 

The game’s token AXS reached a market cap of almost $10 billion in summer 2021. The price of in-game currency Smooth Love Potion (SLP) is currently down 97% from its all-time high at around the same time.

However, by far the most successful use of NFTs has been the collections designed as high-status profile pictures, such as Cryptopunks, Bored Ape Yacht Club, and Pudgy Penguins. 

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