Magic Eden security scare prompts whitehat NFT transfers

All news
Stocks
Crypto
Economics
Currencies
Commodities
Business & Wealth
Market Voices

Concern over a potential vulnerability tied to Magic Eden is driving the emergency movement of digital collectibles from hundreds of wallets. A whitehat operation takes 3,832 NFTs into protective custody on Friday, while the marketplace has not publicly confirmed any contract exploit.

Highlights

• On Friday, a single wallet transferred 3,832 NFTs from hundreds of wallets via Magic Eden after security vulnerability concerns emerged.
• Yuga Labs’ 0xQuit confirmed the transfers were a whitehat effort to safeguard NFTs, which will be returned once the risk subsides.
• In June, 0xQuit led a similar NFT recovery—68 NFTs worth over $500,000—highlighting persistent security risks for NFT holders and marketplaces.

Protective transfers follow vulnerability concerns

As NFT community member Cirrus says a single wallet moved 3,832 NFTs from hundreds of wallets on Friday in transactions that appeared as sales through Magic Eden. Cirrus advises holders to revoke permissions as a precaution amid concern that a vulnerability may be affecting the marketplace

Shortly afterward, Yuga Labs’ pseudonymous vice president of blockchain, 0xQuit, says the transfers are part of a whitehat operation. He says the NFTs in the receiving wallet are safe and will be returned once they are no longer at risk.

Yuga Labs CEO Michael Figge says a vulnerability was discovered a few hours earlier and that the company will share more information soon. Magic Eden has not publicly confirmed that its contracts are exploited.

Crypto security risks remain in focus

0xQuit has previously taken part in similar NFT rescue efforts. In June, he helps recover 68 NFTs worth more than $500,000 after an exploit hits Flooring Protocol, with the assets later held for return to affected users.

The episode adds to ongoing security concerns across the NFT and broader crypto market, where wallet approvals and marketplace permissions can expose holders to fast-moving threats. Cointelegraph says it contacts Magic Eden for comment but does not receive a response by publication.

Our earlier report on Weiss Ratings’ Weiss Crypto Portfolio detailed how the firm markets a model-driven approach to crypto investing that goes beyond Bitcoin, combining coin selection with market-timing signals. We noted that the service is pitched as a structured way to participate in altcoins while managing downside risk, using two portfolios tailored to medium-term trading and long-term investing.

This material may contain third-party opinions, none of the data and information on this webpage constitutes investment advice according to our Disclaimer. While we adhere to strict Editorial Integrity, this post may contain references to products from our partners.
Did you like the article?
Thank you for your feedback!
What could we improve?

Latest NFT News

• By Olena Litvinenko
• 01.09.2026

Messi leaves Argentina team: What is his legacy in crypto?Editors’ Picks
#Crypto#NFT#BitGet

• By Eugene Komchuk
• 20.08.2026

Traders Union research: Most investors prefer liquid NFTsCrypto
#Crypto#Investing#NFT

• By Ciaran Ryan
• 05.08.2026

Few and Far founder faces U.S. fraud charges over investor fund misuseCrypto
#Crypto#Scam Alert#NFT
All NFT News

• Mikhail Vnuchkov
• 3 hours ago

Crypto adoption ranking: How Brazil rose to the top globally

• Ksenia Gerey
• 23 hours ago

Meta’s new VR glasses: Is the metaverse getting a second chance?

• Eugene Komchuk
• Yesterday

Wall Street has the S&P 500. What do crypto traders have?

• Olena Litvinenko
• 23.09.2026

From BUSD to USDC: Why Binance changed its stablecoin strategy

• Dmytro Kharkov
• 23.09.2026

LVMH falls from grace: Why the luxury giant has dropped out of Europe’s top 10

• Oksana Koneva
• 10 min ago

Bob Elliott: Treasury Secretary efforts have yet to move markets

• Alena Volkova
• 10 min ago

USDJPY sees Friday pullback with 155.00 as major support, James Stanley notes

• Daria Chernytska
• 10 min ago

Security risks and asset tracing discussed, Gregory Raymond notes

• Elena Nikulina
• 25 min ago

Quantum startup funding jumps 6.3x with equity from Washington, Puru Saxena notes

• Mykhailo Ihnatenko
• 25 min ago

Deploying millions into bitcoin and altcoins, Ivan Liljeqvist states
Top News

• Eugene Komchuk
• 1 hour ago

Nanexa shares jump 150% after deal with Ozempic maker

• Oleg Tkachenko
• 2 hours ago

Jack Dorsey’s company adds instant BTC payments for AI agents

• Pavlo Kot
• 4 hours ago

U.S. Treasury yields retreat from multi-year highs as oil prices fall

• Olga Shendetskaya
• 5 hours ago

U.S. ready to lift blockade on Iran in exchange for reopening Strait of Hormuz

• Eugene Komchuk
• 5 hours ago

Bitget loses more than $350 million in internal system breach

• Kyle Torpey
• Now

KelpDAO sues LayerZero over $292 million hack

• Anton Kharitonov
• Now

EUR/USD pressured by stronger U.S. data and rising Treasury yields

• Jose Antonio Gastelum
• Now

Cathie Wood taps Securitize to tokenize $1.3 billion ARK fund

• Darina Pashchenko
• Now

BitMEX introduces fees for funds remaining on the platform

• Anton Kharitonov
• Now

EUR/USD extends losses after breaking below 1.1390