Holograph, a blockchain tokenization platform, has released its post-mortem report detailing a security breach that occurred on June 13. Here are the key developments and actions taken by Holograph:

Incident Overview

Breach Details: The breach involved a former disgruntled contractor who exploited Holograph by gaining unauthorized admin access to a proxy wallet. The contractor minted approximately $14 million worth of HLG tokens and sold them, causing a significant drop in HLG token value.

Response: Holograph swiftly responded to the breach by initiating an internal investigation and collaborating with Halborn Security, a blockchain investigation firm. They identified the root cause and implemented operational risk controls to prevent future incidents.

Actions Taken

Post-Mortem Report: Released on July 2, the report provides a comprehensive overview of the incident, detailing the unauthorized minting of tokens and subsequent market impact. It outlines measures taken to secure the protocol moving forward.

Re-enabling Bridging: Holograph has re-enabled bridging on Holograph Protocol V2, indicating confidence in the security measures implemented. Centralized exchanges have been informed that it is safe to resume HLG deposits and withdrawals.

Law Enforcement Involvement: Plans are underway to involve law enforcement in the ongoing investigation. This step aims to further address the breach and potentially recover the stolen funds.

Community Engagement

Token Supply Management: Holograph is nearing completion of its HLG Burn Plan, which aims to restore the maximum supply of HLG tokens to 10 billion. The protocol has assured stakeholders that only the circulating supply will be burned to address community concerns about inflated supply figures.

Asset Recovery: The protocol has yet to disclose detailed plans for recovering the lost funds but has committed to providing updates as progress is made.

Stakeholder Assurance: Holograph has communicated its commitment to transparency and ongoing updates regarding asset recovery efforts and law enforcement proceedings.

Future Outlook

As Holograph moves forward from this security incident, continued vigilance and proactive security measures will be critical. The involvement of law enforcement underscores the seriousness with which the platform is addressing criminal activities and ensuring the protection of its users and assets.