Veve Suspends Marketplace after Token Theft

Veve, Marvel’s partner on its NFT project, recently had to suspend its marketplace after an exploit that resulted in a price decline for digital collectibles.

Veve: A superhero world

Veve is an NFT marketplace that licenses digital collectibles from established brands, and this company is famous among large brands, including Coca-Cola, Pixar, and Marvel. Veve is the official NFT partner of a handful of established brands looking to make their NFT debuts.

As with most other industries, the NFT and Web3 spaces are heavily reliant on partnerships. So, for a considerable amount of established companies, it’s a better idea to partner with Veve and other similar services on the creation of NFTs rather than going through the efforts of creating tokens and a marketplace in-house.

Many people equate Veve with superheroes because its partnership with Marvel has brought it an unbelievable amount of extra publicity, making Veve a superhero marketplace. No company wants to be associated with NFT thefts, but unfortunately, Veve has become the latest company to get compromised by negative actors.

Since NFTs gained critical acclaim, projects and marketplaces have become prime targets for people trying to take advantage of the fantastic people in the NFT space. All you need to do is search NFT thefts on Twitter or your favorite search engine. You will be overwhelmed by chilling reports detailing tactics thieves and their partners use to take advantage of NFT projects, marketplaces, and players.

Veve NFT Exploit

On Wednesday, 23 March 2022, Veve’s official Twitter account shared info acknowledging the recent exploit on the Veve NFT marketplace. Veve made the right decision by communicating the attack early on; it is a mistake that many platforms attacked in the past failed to take. It might be uncomfortable, but denying or not acknowledging an attack does more harm than good.

Here are the details of Veve’s tweet; we have become aware of an exploit of our systems which resulted in a large number of gems being acquired illegitimately. We appreciate the members of the community that have come to us after noticing unusual activity. As a result of this exploit, we have closed the Market, Gem purchases, and transfers while we investigate. We will update you on the expected timing of Market opening as soon as we can.”

After the theft of a considerable amount of Gems on the NFT marketplace, the team behind this company made the hard decision to suspend the gems purchasing option and the entire NFT marketplace.

What is next for Veve marketplace?

There are still some uncertainties with relation to how the exploit was carried out; some people claim that the system started accepting expired credit cards leading people to abuse the system by buying unlimited gems on the Veve platform. 

Veve failed to disclose how many gems were stolen, but during the period of the exploit, Veve witnessed the highest three-day trade in its in-app token gems leading to a fall in the value of its tokens.

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