Sky Mavis' Ronin Bridge Attack Has VC's Rethinking On Crypto Investment Path: Bloomberg - State Street SP

A security breach that allowed hackers to swindle 173,600 Ether and 25.5 million USDC tokens in a $600 million hack of play-to-earn game Axie Infinity is making investors cautious about cryptocurrency, Bloomberg reported, citing Animoca Brands co-founder Yat Siu.
The incident could alter the attitude and responsibilities of venture capitalists investing in crypto.
Animoca is a venture capital company with businesses in non-fungible tokens and has invested in Axie Infinity’s developer Sky Mavis.
The hack has underscored the weaknesses in bridges that allow digital tokens to be swapped between different blockchains.
In the recent attacks, hackers targeted the Ronin Bridge, which Sky Mavis adopted to help Axie Infinity’s network accelerate transactions and reduce costs.
The report cited Siu stating venture capital firms investing in crypto will be forced to resort to vigilant methods such as auditing the blockchain code and security protocols before investing.
Animoca is in discussions with the Sky Mavis team about reimbursing players who lost funds.
photo via Pixabay

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