Stars Arena, a pioneering on-chain social application developed on the Avalanche blockchain, was victimised by malicious hackers to the tune of $2.9 million. The cyberattackers successfully exploited a flaw in the smart contract protocols of the app, leading to substantial loss of funds. However, the team at Stars Arena has immediately taken action, proclaiming that they have secured the necessary funds to bridge the financial gap and are on track to conduct an exhaustive security audit of the platform within the shortest time feasible.
Stars Arena Exploited Amidst Major Security Flaw
In an unfortunate turn of events, Stars Arena, found its smart contracts system penetrated due to a critical security defect. In the aftermath of this revelation, they have issued an urgent call to their user base to temporarily halt deposit activities while the team conducts a thorough review of the potentially damaging issue.
Detailed Evaluation by Peckshield Exposes Reentrancy Exploit
Peckshield, a reputable company specializing in blockchain security and data analytics, stepped into the mix, conducting an initial review of the circumstances surrounding this $2.9 million attack. Their examination revealed that the unethical hackers exploited a reentrancy flaw present in Stars Arena's shares contract. This underhanded tactic enabled the assailants to circumvent the established rules and sell assets at excessively inflated prices on the platform.
Ava Labs CEO Addresses Security Breach
Emin Gün Sirer, esteemed founder and CEO of Ava Labs, provided a balanced outlook on the situation. He maintained that the committed team behind the platform could recoup the lost funds, attributing this to their strong networks and the platform's thriving success in the market. Sirer projected confidence in the ability of the team to plug the vulnerability, emphasizing the need for patience while necessary code alterations are made.
Stars Arena Bolsters Security in Wake of the Hack
In a post-incident reassurance to its users, Stars Arena revealed that it had acquired the funds necessary to balance out the losses incurred by the users. To reinforce their security, they've engaged a team of expert white hat developers to undertake a swift and comprehensive evaluation of the platform's security setup.
Next Steps for Stars Arena
As a part of their damage control strategy, Stars Arena is expected to soon reopen its platform with restored funds upon completion of the promised security audit. While they are yet to reveal a timeline for the process, it seems they are committed to rapidly reinstating a sense of security and trust among its user base.
We welcome your opinions on the unfortunate reentrancy exploit suffered by Stars Arena, amounting to an alarming loss of $2.9 million. Do share your thoughts in the comments section.
Frequently Asked Questions
What is the tax on gold in Roth IRAs?
An investment account's tax is calculated based on the current value of the account, and not on what you paid originally. If you invest $1,000 into a mutual fund, stock, or other investment account, then any gains are subjected tax.
But if you put the money into a traditional IRA or 401(k), there's no tax when you withdraw the money. Only earnings from capital gains and dividends are subject to tax. These taxes do not apply to investments that have been held for more than one year.
These accounts are subject to different rules depending on where you live. For example, in Maryland, you must take withdrawals within 60 days after reaching age 59 1/2 . In Massachusetts, you can wait until April 1st. And in New York, you have until age 70 1/2 . To avoid penalties, you should plan ahead and take distributions as soon as possible.
Is it a good retirement strategy to buy gold?
Although it may not look appealing at first, buying gold for investment is worth considering when you consider the global average gold consumption per year.
Physical bullion is the most popular method of investing in gold. You can also invest in gold in other ways. You should research all options thoroughly before making a decision on which option you prefer.
For example, purchasing shares of companies that extract gold or mining equipment might be a better option if you aren't looking for a safe place to store your wealth. If you need cash flow to finance your investment, then gold stocks could be a good option.
ETFs are an exchange-traded investment that allows you to gain exposure to the market for gold. You hold gold-related securities and not actual gold. These ETFs can include stocks of precious metals refiners and gold miners.
How do I Withdraw from an IRA with Precious Metals?
First, decide if it is possible to withdraw funds from an IRA. Make sure you have enough cash in your account to cover any fees, penalties, or charges that may be associated with withdrawing money from an IRA.
If you are willing to pay a penalty for early withdrawal, you should consider opening a taxable brokerage account instead of an IRA. This option will require you to pay taxes on the amount that you withdraw.
Next, calculate how much money your IRA will allow you to withdraw. This calculation depends on several factors, including the age when you withdraw the money, how long you've owned the account, and whether you intend to continue contributing to your retirement plan.
Once you know what percentage of your total savings you'd like to convert into cash, you'll need to determine which type of IRA you want to use. Traditional IRAs allow you to withdraw funds tax-free when you turn 59 1/2 while Roth IRAs charge income taxes upfront but let you access those earnings later without paying additional taxes.
Finally, you'll need to open a brokerage account once these calculations are completed. Brokers often offer promotional offers and signup bonuses to encourage people into opening accounts. To avoid unnecessary fees, however, try opening an account using a debit card rather than a credit card.
When it's time to make withdrawals from your precious-metal IRA, you'll need a place to keep your coins safe. Some storage facilities will accept bullion bars, others require you to buy individual coins. Either way, you'll need to weigh the pros and cons of each before choosing one.
Bullion bars are easier to store than individual coins. However, you'll need to count every coin individually. However, individual coins can be stored to make it easy to track their value.
Some people prefer to keep their coins in a vault. Others prefer to place them in safe deposit boxes. Whichever method you choose, make sure you store your bullion safely so you can enjoy its benefits for years to come.
What are the benefits of a Gold IRA?
The best way to invest money for retirement is by putting it into an Individual Retirement Account (IRA). It's not subject to tax until you withdraw it. You have total control over how much each year you take out. There are many types available. Some are better suited for college students. Others are designed for investors looking for higher returns. Roth IRAs let individuals contribute after age 591/2 and pay tax on any earnings at retirement. However, once they begin withdrawing funds, these earnings are not taxed again. This type account may make sense if it is your intention to retire early.
The gold IRA allows you to invest in different asset classes, which is similar to other IRAs. Unlike a regular IRA that requires you to pay taxes on the gains you make while you wait to access them, a gold IRA does not have to do this. For people who would rather invest than spend their money, gold IRA accounts are a good option.
Another benefit to owning IRA gold is the ability to withdraw automatically. That means you won't have to think about making deposits every month. To make sure you don't miss any payments, you can also set up direct deductions.
Finally, gold is one the most secure investment options available. It is not tied to any country so its value tends stay steady. Even in economic turmoil, gold prices tends to remain relatively stable. It is therefore a great choice for protecting your savings against inflation.
What Precious Metals Can You Invest in for Retirement?
These precious metals are among the most attractive investments. They're both easy to buy and sell and have been around forever. These are great options to diversify your portfolio.
Gold: Gold is one of man's oldest forms of currency. It is stable and very secure. This makes it a good option to preserve wealth in uncertain times.
Silver: Silver has been a favorite among investors for years. It's an ideal choice for those who prefer to avoid volatility. Silver, unlike gold, tends not to go down but up.
Platinum: This precious metal is also becoming more popular. It is very durable and resistant against corrosion, much like silver and gold. However, it's much more expensive than either of its counterparts.
Rhodium: Rhodium is used in catalytic converters. It's also used in jewelry making. It is relatively affordable when compared to other types.
Palladium – Palladium is an alternative to platinum that's more common but less scarce. It's also more affordable. It is a preferred choice among investors who are looking to add precious materials to their portfolios.
Statistics
- You can only purchase gold bars at least 99.5% purity. (forbes.com)
- Gold is considered a collectible, and profits from a sale are taxed at a maximum rate of 28 percent. (aarp.org)
- If you take distributions before hitting 59.5, you'll owe a 10% penalty on the amount withdrawn. (lendedu.com)
- The price of gold jumped 131 percent from late 2007 to September 2011, when it hit a high of $1,921 an ounce, according to the World Gold Council. (aarp.org)
- (Basically, if your GDP grows by 2%, you need miners to dig 2% more gold out of the ground every year to keep prices steady.) (smartasset.com)
External Links
law.cornell.edu
- 7 U.S. Code SS7 – Designation board of trade as contract marketplaces
- 26 U.S. Code SS 408 – Individual retirement plans
cftc.gov
- Fraud Advisory: Precious Metals Fraud
—————————————————————————————————————————————————————————————-
By: Sergio Goschenko
Title: Attack on Stars Arena: Blockchain Platform Endures $2.9 Million Breach
Sourced From: news.bitcoin.com/social-on-chain-app-stars-arena-suffers-2-9-million-hack-team-secures-funds-to-close-the-gap/
Published Date: Sun, 08 Oct 2023 20:30:36 +0000
