Serenity Shield, the platform touting itself as a "crypto inheritance" solution, experienced a staggering 99% drop in its token value after around 6.9 million SERSH tokens, valued at $5.6 million, were pilfered from one of the team's MetaMask wallets.
The team behind Serenity Shield confirmed the breach in a statement on February 27, announcing the suspension of all SERSH trading activities, including deposits and withdrawals, on centralized exchanges. They assured their community that SERSH would be reintroduced with a new token contract, although they refrained from providing a specific timeline, citing their commitment to protecting community interests and mitigating security risks.
In addition to suspending trading activities, Serenity Shield assured its stakeholders that efforts were underway to redeploy all liquidity into fresh smart contracts, pledging to replace any liquidity lost due to the exploit. The breach occurred at 9:11 AM (UTC) on February 27, with 6.9 million SERSH tokens, valued at $0.82 each, being siphoned from one of the project's MetaMask wallets to an unidentified third-party wallet.
CoinGecko's data depicted a downward trend in the price of SERSH for roughly five hours before plummeting by 98% within five minutes, dropping from $0.565 to $0.009. However, the news was met with skepticism by certain X users, with complaints arising about Serenity Shield's Telegram channel administrators allegedly muting individuals who expressed frustration.
Criticism was also directed at Serenity Shield for storing funds in a MetaMask hot wallet. These wallets, unlike their cold counterparts, are connected to the internet, facilitating swift access to decentralized finance protocols. However, they are deemed less secure due to their online connectivity and susceptibility to breaches.
The SERSH token had been introduced to the market less than ten weeks prior, debuting on December 18th.
