Sandbox Exploit Far Larger Than Project Claims, On-Chain Data Reveals

The Sandbox's cross-chain bridge on Base and BNB Smart Chain (BSC) experienced an exploit, which the project called 'minimal.' However, blockchain security firms PeckShield and Blockaid reported significantly higher figures.

According to PeckShield, 14.9 billion SAND was minted across two attacker addresses, roughly five times the token's 3 billion max supply. Blockaid described this as face-value SAND, indicating that the figure reflects the market price applied to unbacked tokens rather than actual funds extracted.

The exploit is not an isolated incident involving LayerZero-powered bridging infrastructure. In April, attackers linked to North Korea's Lazarus Group had drained nearly $290 million in rsETH from KelpDAO's LayerZero bridge by forging a cross-chain message. LayerZero later acknowledged it 'made a mistake' by allowing its own verification network to secure high-value assets in a vulnerable setup.

The SAND price remained relatively steady, down only 0.6% over the past 24 hours but up over 16% over the week. Retail sentiment around SAND on Stocktwits remained in the 'bullish' zone, while chatter stayed at 'high' levels over the past day.