TLDR
- The compromise of Andy Ayrey’s X account resulted in a crypto scam totaling $602,500.
- Hackers launched and aggressively marketed a token named 'Infinite Backrooms,' inflating its value to a $25 million market cap before offloading it.
- The wallet belonging to the Terminal of Truths bot, housing $1.8 million in assets, was relocated to a safer place.
- The bot manages $1.2 million in Goat tokens, composing 70% of its portfolio, alongside $500K in Fartcoin, which makes up 29%.
- The original breach, which comprised the X account, necessitated emergency countermeasures.
On October 30th, 2024, a security breach compelled Terminal of Truths creator Andy Ayrey to take urgent action after his X account was compromised. The event culminated in a crypto scam estimated at $602,500 and led to the swift transfer of nearly $2 million in digital assets to safeguarded wallets.
The hacking commenced once unauthorized individuals accessed Ayrey's social media. They swiftly rolled out a token dubbed Infinite Backrooms (IB), using Ayrey’s compromised account to draw in his followers, resulting in a market value escalation to $25 million before unaware investors caught on.
The attackers performed an archetypal pump-and-dump scheme, inflating the token's price to $0.025, then selling off roughly 124.6 million IB tokens.
This massive sell-off drove the token's valuation close to zero, with current DEX Screener data showing IB trading at a mere $0.002.
Constellate Labs, another profile linked to Ayrey, promptly validated the breach, with a team update stating, 'Security update: @andyayrey breached – @constellatelabs and @truth_terminal secured with hardware keys, excluding phone 2FA.'
Employing hardware keys and dismissing phone-based 2FA secured these accounts.
security update:
– @andyayrey compromised
– @constellatelabs and @truth_terminal Both the personal and truth terminal’s wallets have been transported to an air-gapped location by me.
The attack persists, with updates to be posted here— Constellate #FREEANDY (@ConstellateLabs)
This indicates further security measures are being enacted to block additional unauthorized entry. October 29, 2024
According to data from Solscan, the former wallet of the Terminal of Truths bot, publicly tagged and containing nearly $2 million in cryptocurrencies, has been cleared.
The resources were transferred to newly secured locales as a precaution during the incident.
An analysis of the AI bot’s present assets reveals roughly $1.8 million in diverse cryptocurrencies. The main chunk involves $1.2 million in Goat tokens, accounting for 70% of the entire portfolio.
An additional $500,000 resides in Fartcoin, forming 29% of the holdings. The remainder, constituting 1%, is spread across 20 different tokens, including Freeandy and Pimp.
Ayrey’s personal wallet reflects approximately $770,000 in assets, with Goat tokens making up 98% of this portfolio. The developer hasn't replied to press inquiries regarding the scheme.
Observers can authenticate the legality of the emergency transfers via the Solana blockchain’s DeFi Activities section on Solscan, offering a transparent log of all relevant transactions. This transparency aids in distinguishing legitimate transfers from potentially fraudulent moves.
Throughout the onslaught, Ayrey released a confirmation video stating that both his personal and project-related funds were relocated to an air-gapped area for protection. This effort was aimed at shielding assets while addressing the security threat.
(the genuine, not the deceptive twin possessing the account right now)
video update from @andyayrey The Terminal of Truths project initially caught attention last July 2024 after venture capitalist Marc Andreessen pledged $50,000 in Bitcoin to foster the cause. Using a customized version of Anthropic’s Claude 3 language model, Ayrey developed the chatbot. pic.twitter.com/OvDIeNxTJ2
This indicates further security measures are being enacted to block additional unauthorized entry. October 29, 2024
The bot gained recognition for advancing what it termed the 'Goatse Gospel,' spurring the ensuing creation of the project.
Following public backing by the AI, the token swiftly expanded. Current market stats place it at rank 127, exceeding established projects like The Sandbox, Decentraland, Ronin, and IOTA. Goatseus Maximus token.
The hack spurred dialogue on security protocols among crypto developers, with broader adoption of hardware keys and enhanced two-factor authentication methods taking place to thwart similar breaches.
Blockchain evidence provides a timeline and movements of funds during the ordeal. Security firms tagged the attacker's wallet address, though recovering stolen assets remains unlikely due to decentralized exchange dynamics.
The episode underscores the rapid pace at which crypto schemes evolve. The full attack, from initial compromise to completing the pump-and-dump pattern, occurred within hours, cementing the importance of swift response strategies for crypto initiatives.
Trading insights from DEX Screener demonstrate the scam token reached its apex price within 45 minutes post-launch, but saw a total value crash in the subsequent hours once the perpetrators liquidated their positions.
Editor-in-Chief at Blockonomi and founder of Kooc Media, a UK-Based Online Media enterprise. Enthusiast of Open-Source Software, Blockchain Technology, & a Free and Fair Internet for all.
