In a remarkable show of solidarity, cryptocurrency giants Binance are helping the Sky Mavis users targeted in the Ronin Hack. Significantly, Sky Mavis has long-term plans to reimburse all its members who suffered in the hack.
What’s more, it will use a combination of internal assets and $150 million raised from investors, including cryptocurrency exchange Binance and venture capital company Andreessen Horowitz. It is unclear how much Binance is putting forward. However, they lead a group of broader investors in a $615 million bailout.
Binance and others are investing in massive Sky Mavis bailout.
The Ronin Hack shook the cryptocurrency and NFT market to its core. It is quite possibly the largest hack in crypto history. Sky Mavis, the company behind the incredibly popular NFT game Axie Infinity, lost over $600 million.
The attacker found a way in using a Ronin node and used hacked private keys to withdraw over half a billion dollars. This staggering loss included over 173,000 ETH and $25.5 million.
Even before the hack, Axie Infinity was down around 45%. Now, after promising their users that they will reimburse them, they are actively attempting to. Although, it may be too late to recover all of their users.
Binance remains committed to helping the cause, and Binance CEO Changpeng Zhao stated, “We strongly believe Sky Mavis will bring a lot of value and growth for the larger industry. We believe it’s necessary to support them as they work hard to resolve the recent incident.”