Distributed Capital Partner Shen Bo: Today’s sale of LQTY is a hacking activity, and he has long-term confidence in LQTY and has never sold it

On April 16th, Shen Bo, founding partner of distributed capital, posted on social media that the stolen LQTY assets sold today were the same as those in November last year, and various parties are actively pursuing them. The stolen wallet transaction was not operated by oneself, and the sale of LQTY is a hacking activity. I have long-term confidence in LQTY and have never sold it and have long supported Liquidity Pool. Shen Bo calls on the community to jointly assist in finding clues to hackers and is willing to provide compensation. Previously, it was reported that Shen Bo, the founding partner of distributed capital, announced on November 23 last year that his commonly used 894 ending wallet address had been stolen, containing assets worth $42 million.

Distributed Capital Partner Shen Bo: Today’s sale of LQTY is a hacking activity, and he has long-term confidence in LQTY and has never sold it

**Introduction**
– Brief on Shen Bo’s post on social media
**Background**
– Explanation of LQTY assets
– How they were stolen
– Results of hacking activity
**Shen Bo’s Response**
– His confidence in LQTY
– Call for community assistance in finding hackers
– Compensation for useful information
**Previous Incident**
– Information about the previous theft
**Repercussions**
– The impact of hacking activities on the cryptocurrency industry
**Preventative Measures**
– Ways to prevent similar incidents from happening
**Conclusion**
– Summary of the article’s main points

Article

Introduction

On April 16th, Shen Bo, founding partner of distributed capital, made a shocking revelation on social media. He disclosed that the LQTY assets sold that day were the same as those pilfered in a previous hacking incident in November of the previous year. Shen Bo also stated that various parties are actively pursuing the stolen assets, and he called on the community to help find the hackers. This article will discuss the details of the incident, Shen Bo’s response, the previous theft, the repercussions of such activities, and the preventive measures available.

Background

LQTY is a decentralized stablecoin that is anchored to a basket of stable assets such as USD Coin, Dai, and USDT. In November of 2020, Shen Bo’s commonly used wallet address was compromised, and the attackers made away with assets worth $42 million, including LQTY.
On April 16th, the stolen LQTY assets were sold, and Shen Bo confirmed that the transaction was not initiated by him. When he discovered the transaction, he reached out to the various parties pursuing the hackers to report the incident. Shen Bo reiterated his long-standing faith in the LQTY token, which he has supported since its inception. He condemned the hacking activity, noting that it was detrimental to the cryptocurrency industry’s growth.

Shen Bo’s Response

Shen Bo has acknowledged that he has confidence in LQTY and its potential to revolutionize the cryptocurrency industry. However, he has called on the community to assist in finding the hackers who stole LQTY assets. In his statement, Shen Bo offered a reward for any clues that would lead to the perpetrators’ apprehension.
The responsibility for preventing similar incidents falls on the cryptocurrency community as a whole. Therefore, Shen Bo’s call for community-based efforts to bring the hackers to justice is a step in the right direction. Shen Bo’s response to the incident shows that he is committed to securing the funds of his investors and, equally, the ideals of the cryptocurrency industry.

Previous Incident

In November last year, Shen Bo announced that his wallet, ending in 894, containing assets worth $42 million, had been stolen. This incident, along with other attacks on decentralized finance (DeFi) protocols in 2020, highlights the vulnerability of decentralized applications to hacking and exploitation.

Repercussions

The LQTY theft highlights the dangers that the cryptocurrency industry faces in the current era. Cybercrime has increased, and the decentralized nature of cryptocurrencies makes them more vulnerable to hacking than traditional financial systems. Such incidences do not only harm investors but also the reputation of the entire crypto industry.

Preventative Measures

Cryptocurrency assets are stored in wallets, and digital wallets are secured by a combination of private keys and passwords. Personal security practices, such as regularly changing passwords and practising two-factor authentication, are essential to secure wallets. In instances where hundreds of millions worth of crypto assets are at stake, a multi-signature wallet could suffice better. With multi-signature wallets, multiple keys are required to validate transactions, and this limits the vulnerability of the wallet to external hacking attempts.

Conclusion

The LQTY theft is just another example of the challenges the cryptocurrency industry is faced with in ensuring adequate security, transparency, and bringing stability to the market. The hacking incident highlights the need for intensified measures, awareness creation, and securing investors’ trust to support market growth as a whole. Shen Bo’s response is a call to action, urging everyone to be vigilant and to work towards a secure and transparent cryptocurrency industry.

FAQs

1. Q: What is LQTY?
A: LQTY is a decentralized stablecoin anchored to a basket of stable assets like USD Coin, Dai, and USDT.
2. Q: How was LQTY stolen?
A: Shen Bo’s commonly used wallet address was compromised in November 2020, and hackers made away with assets worth $42 million, including LQTY.
3. Q: What measures can be taken to prevent such incidents in the future?
A: Personal security practices, such as regularly changing passwords and practising two-factor authentication, are essential to secure wallets. A multi-signature wallet could also offer greater security for high-value crypto assets.