Normie memecoin plummets 99% due to a smart contract exploit, slashing market cap from $42M to $200K.
The hacker demands a relaunch and no reprisals in return for 90% of the stolen funds as the Normie team faces suspended accounts.
72,000 holders were impacted; the incident revealed that 91% of Base memecoins have vulnerabilities, highlighting significant risks.
The Normie (NORMIE) memecoin experienced a catastrophic decline, dropping 99% in value within three hours due to a smart contract exploit. This incident caused the token’s market capitalization to fall from nearly $42 million to just $200,000.
Negotiations with the Hacker
Following the exploit, the Normie team began negotiations with the hacker, who offered to return 90% of the stolen funds. The hacker set strict conditions for the return, including the launch of a new token using the stolen funds and the team’s $2.3 million development wallet to reimburse NORMIE holders.
This memecoin went from $41m to $35k mcap in minutes last nightThe exploiter agreed to return 90% of the funds if the $NORMIE team uses their 600 $ETH dev wallet to launch a new token pic.twitter.com/VcMu1f3e4G
— borovik (@3orovik) May 26, 2024
Despite accepting these terms, the Normie team faced challenges, including the suspension of their primary and temporary Twitter accounts. The exploit was first identified by blockchain analytics firm Lookonchain on May 26.
The Normie team has acknowledged the need to relaunch the token, contingent on the recovery of their Twitter account and the return of the stolen funds. However, the hacker insisted that the relaunch occurs before returning the funds, highlighting concerns about the appropriate use of the development wallet.
The smart contract vulnerability has impacted 72,000 NORMIE holders, according to the blockchain scam detector tool Quick Intel.
Broader Implications
Normie’s token value initially plummeted to $0.0032 and continued to decline, reaching $0.0012 at the time of writing. This marks a 96% drop since the exploit. The incident underscores the vulnerabilities in many memecoins, with a recent investigation revealing that 91% of Base memecoins have potential weaknesses that could lead to substantial losses for users.
The Normie memecoin’s fall highlights the risks associated with smart contract vulnerabilities and the challenges of recovering from such incidents. The future of NORMIE and its holders remains uncertain as the team navigates the complex negotiation process with the hacker.
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The post Normie Coin Holders Hit Hard by 99% Drop Due to Exploit appeared first on Crypto News Land.