How much was lost in the xKingdom.tech Token hack?

The xKingdom.tech Token hack resulted in $1.2M in losses on January 06, 2023.

What attack technique was used in the xKingdom.tech Token exploit?

The xKingdom.tech Token exploit utilized Rugpull. Understanding this attack vector is critical for smart contract auditors and developers building secure DeFi protocols.

How can developers prevent similar smart contract attacks?

Preventing smart contract hacks requires a combination of secure coding practices, thorough security audits, and understanding common attack vectors like reentrancy, oracle manipulation, and access control flaws. Smart Contract Hacking (SCH) provides hands-on training to help developers and auditors identify and prevent vulnerabilities before deployment.

xKingdom.tech Token Hack

TOTAL LOST $1.2M

Medium Jan 06, 2023 Rugpull

Affected Chain 2023 Incident surface

Recovered - No recovery reported

All-Time Rank #792 By amount stolen

Protocol Type Exit Scam/Rugpull Target category

Incident Overview

Quick Summary

XKING token was rugpulled on Arbitrum resulted in a loss of 1,247,503 USD, with funds laundered through Tornado Cash.

Details of the Exploit

XKING is an ERC20 token operating on the Arbitrum network. The deployer removed liquidity from the LP pool, leading to an exit scam in which approximately 1.24 million USD (553.49 ETH) was stolen. The scammer then transferred the stolen funds from the Arbitrum chain to the Ethereum Mainnet and laundered them using Tornado Cash.

All associated addresses, websites, and social media accounts have been deleted.

Block Data Reference

Deployer Address:

https://arbiscan.io/address/0x63686C5F…4110cB

Scammer Addresses:

https://etherscan.io/address/0xCA1214fa…a474c6

https://etherscan.io/address/0xeF7DD226…d6A13D

Liquidity Removal Transaction:

https://arbiscan.io/tx/0xa855adf1…e35145

Tornado Cash Deposits:

https://etherscan.io/tx/0xe120d8b9…062a18

https://etherscan.io/tx/0x2ddefe6a…16720d

https://etherscan.io/tx/0xf881b31d…4c1b1e

Incident Report

Protocol / Project xKingdom.tech Token

Date of Incident January 06, 2023

Attack Technique Rugpull

Classification Token

Primary Source View Post-Mortem

Protocol Information

Protocol Type Exit Scam/Rugpull

Affected Token XKING

Team Anonymous

Source Code Unverified

What the Attacker Needed to Succeed

Understanding the prerequisites for this type of attack helps auditors identify protocols that are most at risk and helps developers build better defenses.

Technical Knowledge Deep understanding of rugpull and Solidity and EVM internals

Capital Required Seed capital to cover gas and initial position setup

On-Chain Access Ability to interact with smart contracts and deploy a custom exploit contract

Protocol Analysis Identification of the exploitable vulnerability in xKingdom.tech Token's contract logic - root cause: token

Execution Speed Precise transaction ordering and timing to exploit the vulnerability within a single atomic block

Obfuscation Plan A strategy to launder and move stolen funds - typically through mixers, cross-chain bridges, or decentralized DEX swaps to resist tracing

What Auditors Should Check

Could this have been caught in audit? Hard to catch — private key / OpSec failures are outside smart contract audit scope

If you're auditing a protocol with similar architecture to xKingdom.tech Token, these are the critical security checks that could have prevented this incident (January 2023).

Verify all logic paths related to Rugpull are guarded by proper access controls and input validation
Review privileged functions (owner, admin, governance) for potential abuse vectors - centralization risks should be documented and bounded with timelocks or multi-sigs

Master these auditing techniques with hands-on labs and real exploit scenarios in the Smart Contract Hacking course.

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Sources & References

01
Source 1 https://twitter.com/CyversAlerts/status/1743938286622515551

Threat Assessment

Severity Level

MEDIUM

Attack Vector Rugpull
Root Cause Token
Year 2023

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