Decentralized social platform UXLINK has announced it will launch a token swap after falling victim to a major exploit that drained millions and left its token supply compromised.
The incident, which was first flagged by blockchain security firm Cyvers on Sept. 22, stemmed from a multi-signature wallet breach. Hackers exploited a “delegateCall” vulnerability that granted them administrator-level control over UXLINK’s smart contracts. With this access, they siphoned off $11.3 million in assets, including $4.5 million in stablecoins and major tokens such as ETH and WBTC.
But the damage didn’t stop there. The attacker also minted between 1–2 billion UXLINK tokens on Arbitrum. Roughly 490 million tokens were immediately transferred and sold across decentralized exchanges, with proceeds bridged to Ethereum and swapped into 6,732 ETH worth about $28.1 million at today’s prices.
The fallout was swift: UXLINK’s token price collapsed more than 70%, dropping from $0.30 to just $0.09, wiping out roughly $70 million in market cap.
UXLINK’s Response
In a Sept. 23 security update on X, the team confirmed that the hacker is still minting new tokens without authorization. To contain the damage, UXLINK is working with major centralized exchanges to suspend deposits and freeze stolen funds. Upbit and others have already intervened, halting inflows of compromised tokens.
Importantly, UXLINK stressed that user wallets remain safe and were not directly impacted by the breach. The project has also engaged security firm PeckShield to assist with investigation and auditing, while law enforcement agencies are now involved in recovery efforts.
To restore confidence and repair its ecosystem, UXLINK will soon initiate a token swap. The move is designed to protect existing holders, remove the impact of the hacker’s minted tokens, and realign supply with the project’s original whitepaper.
Looking Ahead
The team emphasized its commitment to transparency and its responsibility to safeguard its reported 55 million users. Details of the token swap and recovery process will be shared through official channels in the coming days.
While some of the hacker’s funds have already been frozen, the unauthorized minting continues to be a major challenge making the token swap the project’s most urgent path forward.
