OKX, a leading Web3 technology company and cryptocurrency exchange, has halted trading of sats, a BRC-20 token that pays homage to satoshi, the smallest unit of Bitcoin. The suspension came after a loophole was discovered in the OKX Web3 Wallet Ordinals trading market, where a large number of fake sats tokens were displayed in pending orders, deceiving unsuspecting buyers.
This was reported by a Chinese user, @Go_Plus_cn, urging users to stop trading sats immediately to avoid losing assets by buying fake tokens. The exchange also said it was working to fix the issue and restore normal trading as soon as possible.
Developed by an Anonymous Team
Sats is a meme token that was inscribed by an anonymous team and launched on the Ordinals platform, a marketplace for Bitcoin Ordinals and BRC-20 tokens. According to CoinMarketCap, sats has a total supply of 2.1 quadrillion tokens and a market cap of $1.69 billion as of Dec. 31, 2023. The token reached an all-time high of $0.000000922983 on Dec. 15, 2023, but has since dropped by 17.5%.
The incident is the latest in a series of scams and hacks that have plagued the cryptocurrency industry, highlighting the need for more regulation and security measures. OKX itself was the victim of a cyberattack in October 2023, which resulted in the theft of $150 million worth of cryptocurrencies from its hot wallets. The exchange has since implemented a comprehensive security upgrade and reimbursed the affected users.