Infinity Checks NFT collection by Jack Butcher and Jalil.ETH hacked

In July, Jack Butcher and Jalil.ETH launched the Infinity Checks NFT collection. At first, it attracted increased attention, first because of the idea and the big names of the creators. And now the creators have reported that the smart contract has been hacked and all the money has been stolen.

dear all ‼️

a bug was found in the Infinity contract i built and it was abused to drain all the funds.

i'm taking full responsibility for it.

i took down the website just now. investigating exactly what happened.

i will find a way to refund every single deposit.

gutted…

— jalil.eth (@jalil_eth) August 10, 2023

But let’s talk about everything in order.

What is Infinity Checks NFT Collection?

The Infinity Checks NFT collection was created to solve the main problem of the NFT market: speculation and concern only for profit.

The mechanics works in such a way that with the popularity of the collection, its floor price grows and, accordingly, the entry barrier grows. Because of this, digital assets become inaccessible to many, and the project team focuses on keeping the bar and profit. As a consequence of this common pattern of behavior, impulsive market fluctuations, multiple speculation and distrust of the market occur. This is contrary to the principles of decentralization.

Jack Butcher, the famous creator of the popular collections Opepen Edition and Checks – VV Edition, together with Jalil.ETH created this collection to correct this trend. The project is more than just art or technical innovation. This is a unique system that balances art, a well-thought-out economic model, a fundamental ideology and a strong community. And it got a very big response.

new stablecoin just dropped pic.twitter.com/uBA7ii5ReY

— ripe (@ripe0x) August 8, 2023

Here are some facts about the collection:

• An endless supply of tokens, each representing the original essence of the art, not the main bidding item.
• Fixed price of 0.008 ETH.
• If the owner wants to return the investment, he can do it at any time. The fact is that the smart contract contains a depository, the funds in which are always ready for withdrawal. And just the same, this became a fatal error and a loophole for hackers.

How was the Infinity Checks NFT collection hacked?

On August 10, the co-founder of Jalil.ETH announced the shocking news on his Twitter. The hackers found an error in the smart contract, thanks to which they withdrew absolutely all the funds, which is almost 40 ETH (about 73k dollars). The organizer gives detailed technical explanations:

thank you for the kind words.

first – i'm thankful this happened now and not when the contract balance is much higher.

the exploit used a contract function "regenerateMany", which i implemented to save the extra "degenerate" transaction in case one wants to reroll the visuals… pic.twitter.com/Dhseujdhis

— jalil.eth (@jalil_eth) August 10, 2023

The founders of Jack Butcher and Jalil.ETH immediately admitted all the blame and promised to return all the stolen money, and the site was blocked. An investigation is underway at the moment.

In this case, there is no doubt that the funds will be returned, as the creators value their unconditional and high reputation. Most recently, Jack Butcher created a huge public outcry and engagement from all the major players in the NFT market through the hype around the Opepen Edition on Twitter.

But all NFT investors should be aware of the need for a comprehensive assessment of the project before investing, including an analysis of the team and the technical foundation of the project. About this and not only we give in detail an expert assessment and a training cluster of information in our free NFT investor course.