Sweat Economy DeFi Platform Suffers Exploit as Attacker Drains 13.71 Billion SWEAT

Sweatcoin states that it blocked a further outflow after a May 29 token contract bug was exploited, recovering all funds with support from MEXC and other partners.

31d ago

Fact Check

The claim is likely true. CoinPost's report, which cites an official Sweat Economy announcement, says an attacker exploited a token-contract bug, briefly controlled about 13.71 billion SWEAT, and that the team blocked further outflow, with MEXC freezing the attacker's account and user funds ultimately restored. The fetched X post at https://x.com/CryptooIndia/status/2049534408068366809 independently matches the 13.71 billion SWEAT figure. Confidence is medium rather than high because the primary official X post itself was not retrievable in full within this run, and The Block result could not be fetched for direct validation.

Summary

Sweat Economy previously said a SWEAT token contract exploit affected 13.71 billion tokens, or about 65% of total supply, valued at roughly $3.5 million. A new update from Sweatcoin says the attacker exploited a bug in the token contract on May 29, drained accounts belonging to the top 100 SWEAT holders, and targeted funds worth about ¥560 million. Sweatcoin said it worked with MEXC and other parties to freeze the outflow and recovered all funds.

Terms & Concepts

DeFi: Short for decentralized finance, a blockchain-based financial system that provides financial services without relying on traditional intermediaries.
Exploit: The use of a security or technical weakness in a crypto system, such as a token contract or protocol, to manipulate operations or extract funds.
SWEAT token contract: The blockchain-based smart contract governing the SWEAT token’s issuance and behavior; pausing it can help stop further unauthorized activity.