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Port3 Network Identifies Security Flaw in NEXA’s CATERC20 Token

Port3 Network disclosed a cross-chain token exploit on NEXA enabling unauthorized access post-ownership renouncement, prompting exchanges to halt transactions and plan for token reissuance.

Summary

On Nov. 23, Port3 Network revealed a vulnerability in NEXA’s CATERC20 cross-chain token that allowed unauthorized access after ownership was renounced. Hackers exploited the flaw via multiple addresses, leading several exchanges to suspend deposits and withdrawals. Port3 stated it will issue a fixed token to address the issue.

Terms & Concepts
  • CATERC20 cross-chain token: A token standard variant designed for interoperability across multiple blockchain networks while following ERC-20-like rules.
  • Ownership renouncement: The act of relinquishing administrative control over a smart contract to promote decentralization and remove centralized authority.
  • Smart contract audit: A security review process that evaluates blockchain-based self-executing code for vulnerabilities and compliance with specified standards.