Telcoin Restores User Balances After $1.2 Million Exploit

According to CoinDesk, Telcoin has restored all user balances following an exploit that led to $1.2 million worth of funds being transferred out of some users' accounts. Telcoin founder and CEO, Paul Neuner, expressed pride in the team's swift action to restore affected user wallets from the company treasury. In late December, Telcoin, a developer of financial applications such as trading and remittance tools for mobile users, experienced an exploit due to an error related to a wallet implementation on Polygon. This caused user balances to drop on the Telcoin mobile application. The issue reportedly occurred due to a fault in the interaction between Telcoin's digital wallet and a proxy contract. The proxy incorrectly performed certain storage functions, resulting in a technical conflict that allowed for the withdrawal of assets. No admin keys were leaked, so the broader Telcoin ecosystem remained unaffected by the exploit. Telcoin restored funds from the company's treasury while working with leading blockchain security experts and law enforcement to freeze and recover stolen funds. Following the quick resolution, deposits increased as bullish sentiment among users improved. The company reported a 400 percent increase in deposits compared to last month, with a ratio of $3.60 being deposited for every $1 being withdrawn.