Upbit and Bithumb Flag SAND Token Over Unresolved Security Concerns
South Korean exchanges Upbit and Bithumb have designated The Sandbox's SAND token as an investment caution asset due to unresolved security concerns following a cross-chain bridge incident.
The issue began when Bithumb detected abnormal token minting activity involving the SAND smart contract on Base, prompting a warning that the incident could increase price volatility.
The Sandbox later confirmed that a vulnerability in its SAND cross-chain bridge had allowed an attacker to mint unbacked SAND on Base and BNB Smart Chain, although they estimated the actual impact at less than 0.01% of SAND's total supply.
Upbit has scheduled its initial review period from Aug. 24 through Sept. 28, during which it will assess whether The Sandbox has adequately addressed the security concerns and can remove, extend or escalate the warning accordingly.