Exchange Risk

Gate News message, on April 3, the crypto wallet app Leap Wallet announced that it will stop operating on May 28, and users need to complete asset migration as soon as possible. The shutdown scope includes: Compass Wallet (browser extension, iOS and Android versions), Leap WebApp, Swapfast, Leap Cosmos Hub validator nodes, and Leap Cosmos

As of April 3, DRIFT’s price is up 24.16%, now trading at $0.0561, with a market cap of approximately $32.62 million. Drift Protocol, as a decentralized exchange, has performed well in terms of security and liquidity, but trading has been restricted due to recent security incidents and risk management measures by South Korean exchanges, which has increased market volatility.

Social media platform X will auto-lock accounts that mention cryptocurrency for the first time, requiring additional verification to deter crypto phishing scams. This new measure aims to eliminate incentives for attacks that hijack accounts to promote fraudulent tokens.

X (formerly Twitter) will implement new protective measures. If a user posts content related to cryptocurrency for the first time, the account will automatically be locked and prompted for identity verification to prevent hackers from using the account to carry out scams. X product lead Nikita Bier also criticized Google for tolerating phishing emails, emphasizing that this move can eliminate 99% of hackers’ motivations.

Magic Eden is discontinuing its wallet app, transitioning to an export-only mode, which means users must export their private keys to avoid losing access to their funds. This change emphasizes the importance of self-custody and key preservation for cryptocurrency users.

Loopscale’s declaration is not directly related to Drift. Most funds are secure, with some indirect exposure. Deposits in the SOL Genesis Vault will fully reimburse users; deposit and withdrawal functionality is temporarily disabled, and will be reopened once services are restored.

Decentralized exchange Drift Protocol was hacked on April 2, resulting in losses of up to $280 million, becoming one of the largest DeFi security incidents in the Solana ecosystem. The attacker exploited a multisig vulnerability to obtain administrator keys and quickly transferred assets. Drift has paused deposits and withdrawals and has promised to continue updating the incident investigation. Security experts noted that this incident highlights the risks of high-privilege key management for DeFi protocols, urging stronger security measures to protect users’ assets.

Gate News message, April 2, a certain CEX issued a Drift (DRIFT) token warning notice. For the purpose of protecting users, member companies of the Digital Asset eXchange Alliance (DAXA) may take measures such as issuing warnings, designating trading warning assets, or terminating trading support.

ZachXBT criticized Circle for not taking action in the Drift hacking incident, with millions of USDC moved from Solana to Ethereum. Circle has frozen part of its hot wallets, but progress has been slow to resume. He says Circle is a bad actor in the industry.

On April 2, on-chain monitoring firm PeckShield warned that HyperEVM could face a major outage, with blocks and transactions coming to a halt, impacting users’ transaction confirmations and smart contract interactions. The official status page, however, shows “All Systems Operational,” reflecting insufficient monitoring of HyperEVM layer conditions. This outage exposed issues with the new mainnet’s early stability; the specific causes are pending an official announcement.

A South Korean cryptocurrency exchange announced that it will postpone its IPO until after 2028 due to the need to improve internal controls and accounting policies, and it is still in the preparation stage. Although it is expected to generate $43 billion in revenue in 2025, internal and regulatory issues have impacted the IPO process.

Magic Eden is discontinuing its wallet app, transitioning to an export-only mode, which means users must export their private keys to avoid losing access to their funds. This change emphasizes the importance of self-custody and key preservation for cryptocurrency users.

Gate News message, April 1, UX Chain’s official announcement stated the launch of a platform shutdown plan. According to the announcement, users must clear all outstanding positions before the platform begins full liquidation on April 30. The protocol is expected to be completely shut down by May 15. UX Chain stated that it will use reserve funds and fiscal funding to cover the protocol’s funding shortfall, and specific details will be published in the UX Governance Forum.

Gauntlet's post states that after Resolv Labs experienced a vulnerability, they did not propose any remediation measures. They have already removed multiple vault markets, involving approximately $11.9 million in liquidity, and plan to establish a claims contract to recover the assets.

Magic Eden announced that its native wallet will completely stop providing services on May 1, 2026. Users must export their private key or seed phrase before the deadline; otherwise, they will lose access to their assets. Recently, Magic Eden has continued to scale back its business, pivoting to focus on the Solana ecosystem and the iGaming platform Dicey, and has adjusted the ME tokenomics model to connect it with platform revenue.

The NFT marketplace Magic Eden announced that its native crypto wallet will enter “withdraw-only” mode starting April 1, and will fully stop operating on May 1. Users must withdraw their private keys or seed phrases before May 1; otherwise, they will permanently lose their assets. The wallet has been delisted and cannot be downloaded again. This shutdown is part of Magic Eden’s business transformation, shifting its focus toward crypto entertainment. The ME token incentive program is not affected, but the price is near its historical low.

Crypto firms Archblock, TrustToken, and TrueCoin have filed for bankruptcy due to financial devastation after Techteryx failed to pay invoices and was defrauded by an Eastern European criminal group. The company has also been involved in multiple legal disputes, facing tax issues and high-risk investment losses, highlighting potential risks in the stablecoin industry.

Coinbase faces renewed scrutiny regarding the delayed listing of XRP, as Ripple's CTO claims the exchange held back the token due to a disputed listing fee. The allegations suggest financial negotiations, rather than regulatory concerns, influenced the situation.

Binance is increasing transparency in token market-making by requiring projects to disclose their market maker's identity and contract specifics. It is banning profit-sharing and guaranteed-return arrangements, and imposing strict guidelines on token lending agreements to prevent unfair trading practices.