Trader Loses Over $1m Due To 0L Network Hard Fork

A trader lost more than a million dollars worth of cryptocurrency due to a hard fork of the 0L network.

An unlucky trader named NN took to social media platform X to discuss losing assets to this change. The user said the community did not approve of the 0L network’s hard fork.

The 0L Network was created to reward developers and other community members who actively participate in project construction.

“The team behind @0LNetwork ( $LIBRA ) decided to hard fork because of a “rogue core” member. This fork resulted in a wipe out of 4% of the total supply, also burning innocent people’s wallets, including tokens purchased almost 2 years ago.”

NN, anonymus trader

NN purchased 147 million Libra tokens in February 2023, worth approximately $1.47 million at the time, before joining the protocol to help with marketing efforts.

The trader claims that the team has been aware of the bug for over two years, and some insiders have abused it. However, the team decided to ignore the problem due to the insufficient value of the Libra token.

The hard fork resulted from a bug in the smart contract that allowed insiders to unlock tokens faster by distributing them across multiple wallets. However, according to a pseudonymous trader, the loophole remains in the newest version of 0L Network, v7.

Instead of fixing the loophole, the team decided to fork out all the wallets it believed were taking advantage of it. NN said the team knew that innocent wallets would be impacted as it was impossible to trace all tokens.

Despite purchasing tokens from six different validators, NN’s wallet was decimated by one validator that the team deemed fraudulent.

“I bought tokens from 6 different validators, yet my entire wallet, containing all my tokens, is being forked out because one of the validators was considered rogue.”

NN, anonymus trader
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