Million Dollar NFT Heist Stark Reminder of Risk

With all the hype around non-fungible tokens (NFTS), it's easy to forget that this blockchain niche remains largely unregulated. In some circles, NFTs have inherited the Wild West reputation that cryptocurrencies like bitcoin fended off in the early days. 

NFT critics argue these digital collectibles can be easily copied online as jpegs. However, the charm of NFTs is true ownership rights secured on the blockchain, and users are doling out thousands and even millions of dollars for this status symbol.

Investors were sorely reminded of the developing nature of NFTs last weekend when bad actors absconded with over $1 million worth of these trendy digital collectibles.

OpenSea, the most popular platform for buying, selling, and minting NFTs, found itself in the middle of the heist. Meanwhile, OpenSea executives are addressing the incident and attempting to distance themselves from it simultaneously.

While the situation remains fluid, what's clear is that nearly three-dozen market participants had their NFTs lifted from under their noses.

Based on social media accounts, the bad actors targeted OpenSea users by email, pretending to be from the platform and urging a planned migration of smart contracts.