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Over $765K worth of NFTs stolen after SIM swap attack on GutterCatGang

July 8, 2023No Comments


More than $765,000 worth of non-fungible tokens were stolen as part of a reported SIM swapping attack on the GutterCatGang NFT project.

The security breach was highlighted by several members of the NFT community around 8pm UTC on July 7, with GutterCatGang co-founder @GutterMitch tweeted a warning that: "Our Twitter has been compromised, please do not interact with any links."

In addition to the official GutterCatGang account, co-founder @gutterric was also hacked.

The hacker, or hackers, used the accounts to share links to fake airdrops of "limited edition" GutterCatGang NFT sneakers that essentially sold out people's hot wallets when they clicked on them.

In an effort to make the fictitious links appear more legitimate, the tweets included branding and recent GutterCatGang images of the project's phygital sneaker launch in partnership with Puma and NBA/Charlotte Hornets star LaMelo Ball.

Responding to Gutter Mitch's thread, prominent blockchain detective ZachXBT claimed that the team was hacked through a SIM swapping attackwhile questioning the team cyber security practices.

โ€œYour team better look into a compensation plan for the victims as it is grossly negligent to have used SMS 2FA on your social media after all the recent SIM swaps,โ€ ZachXBT said.

Related: $794K SIM swapping hacker PlugwalkJoe sentenced to 5 years in prison

In a separate thread, ZachXBT highlighted two victims of the attack, one lost a Bored Ape Yacht Club NFT worth $65,913 at current rock bottom prices, and other losing out on a whopping $700,000 worth of NFTs from a host of top-of-the-line collections.

Providing an update on the matter, GutterCatGang co-founder @gutterdan_ stated: "We are working with Twitter to regain access to compromised Gutter-affiliated Twitter accounts."

โ€œWe stand in deep sympathy with all those affected and want to assure you that we are taking this matter very seriously and are working with law enforcement to investigate the attack and security breach,โ€ he wrote.

At the time of writing, it appears that the accounts are still compromised.

GutterCatGang launched in mid-2021 and consists of 3,000 unique NFT cartoon cat avatars. The current minimum price stands at 0.5 Ether (ETH), an increase of nearly 615% from initial cost to mintage, according to NFT Price Floor.

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