Unconfirmed Hack of Frank's Wallet, Former DeGods CEO, Incites Controversy Among Crypto Enthusiasts
Keeping the Blockchain Kingdom Guessing:
The unexpected departure of Frank DeGods, the DeGods' pioneering figure, and the subsequent sale of 16 DeGods NFTs from his Solana wallet on Magic Eden has set off a storm within the crypto community.
Posting his resignation on May 12, 2025, via his X account, Frank stated that the time had come for him to pass the reigns to his dedicated team. Fast forward a few days, and Frank's wallet was compromised, resulting in the sale of an estimated $19,000 worth of 16 DeGods NFTs.
A Cyberattack or a Stealthy Exit Strategy?
As the crypto realm buzzes with controversy, Frank and the team assert that this was no mastermind scheme but merely a cyberattack, as evidenced by the alleged hack reported on a DeGods Discord chat. Yet, the crypto community has been divided, with some accepting this explanation and others viewing it with a skeptical eye.
An X user questioned, "I'm not seeing any other assets stolen. So, the hacker was kind enough to only sell his degods and nothing else?" Another user even went so far as to claim that the timing of the sale was suspect, while others hinted at a staged move to allow Frank to exit the project without any backlash.
The timing of the hack, occurring shortly after Frank's resignation, raises eyebrows and casts doubt on the sincerity of the claims. Moreover, DeGods' value has dipped dramatically since its peak. Some speculate that Frank saw this opportune moment to "cash in" before the NFT's value dropped any further, but no evidence supports these assumptions, and Frank maintains his innocence.
While many attribute the decline in DeGods' value to broader market sentiment, the project has faced challenges in the past, such as its controversial decision to migrate from Solana to Ethereum and later back to Solana, causing friction within the community. The lack of innovation and market pressures have eroded DeGods' former prominence.
Regardless of the truth, this incident leaves investors second-guessing DeGods' prospects for recovery.
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Sources:
- Reuters - Web3 growth: New expectations
- CoinDesk - Understanding Web3
- Decrypt - Defending NFT Platform Rally Ahead of Launch
- The Block - DeGods NFTs, CEO Resignation, and the Alleged Hack in the Crypto World
- With the sold DeGods NFTs worth approximately $19,000 from Frank's compromised wallet, speculations about whether it was a cyberattack or a stealthy exit strategy have intensified within the crypto community.
- In the wake of the incident, some crypto investors are second-guessing the prospects for DeGods' recovery, as the value of the NFTs has been on a downturn since its peak, and the project faces challenges from both outside and within.
- Amidst the controversy, users on the DeGods Discord have reported a hack, but skeptics question if the timing of the sale, occurring shortly after Frank's resignation, was intentional.
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