White‑hat secures 3,832 NFTs amid Magic Eden concern

A security-focused actor moved 3,832 non-fungible tokens from hundreds of wallets on Friday after blockchain entries appearing as sales drew attention.

A community member using the handle Cirrus on X flagged the activity and reported that a single receiving wallet consolidated the tokens. Cirrus noted the transactions looked like sales routed through Magic Eden and urged owners to revoke marketplace approvals as a precaution.

Yuga Labs’ vice president of blockchain, known as 0xQuit, identified the transfers as a white-hat operation and posted that the NFTs in the receiving wallet are secure. He added, “They will be returned once they are no longer at risk.” 0xQuit previously helped recover 68 NFTs valued at more than $500,000 after an exploit in June.

Yuga Labs chief executive Michael Figge said the company discovered a vulnerability a few hours before the transfers and that it will share more information when available. Magic Eden did not publish a confirmation that its contracts were exploited and had not responded to requests for comment by publication time.

Marketplace approvals allow smart contracts to move tokens on behalf of approved wallets. Community members recommended that affected owners check and revoke any marketplace permissions tied to their wallets to limit further unauthorized transfers.

Some security-focused actors take custody of at-risk assets to prevent additional loss and return them after fixes are applied. Yuga Labs has described the incident as a security matter that requires a controlled response and communication with token holders.

Affected owners should review wallet approval settings and monitor official updates from Yuga Labs and Magic Eden for confirmation and next steps.