Magic Eden scare puts 3,832 NFTs in whitehat protective custody

A whitehat moved 3,832 non-fungible tokens from hundreds of wallets on Friday amid concerns about a vulnerability involving $NFT marketplace Magic Eden.

$NFT community member who goes by Cirrus on X flagged the activity on Friday, saying a single wallet moved 3,832 NFTs from hundreds of wallets. Cirrus said the transactions appeared as sales through Magic Eden and advised $NFT holders to revoke permissions as a precaution.

Shortly afterward, Yuga Labs’ pseudonymous vice president of blockchain, 0xQuit, said the transfers were part of a white-hat operation. He said the NFTs held in the receiving wallet are safe and “will be returned once they are no longer at risk.”

The Yuga Labs executive has previously been involved in similar $NFT rescue efforts. In June, 0xQuit helped recover 68 NFTs worth more than $500,000 after an exploit hit Flooring Protocol, with the assets later held for return to affected users.

Yuga Labs CEO Michael Figge said a vulnerability was discovered a few hours earlier and that the company would share more information soon.

Magic Eden has not publicly confirmed that its contracts were exploited.

Cointelegraph contacted Magic Eden for comment, but had not received a response by publication.