Gala Games, a blockchain gaming platform, has successfully recovered around $22 million worth of Ether (ETH) from the individual responsible for a recent security breach. The breach occurred on May 20 when the attacker minted Gala (GALA) tokens worth $200 million and sold a portion of them before the wallet was frozen. Gala Games received 5913.2 ETH, equivalent to $22.3 million, from the attacker’s wallet. Gala Games attributed the quick recovery to their effective response and the involvement of federal law enforcement agencies. They utilized GalaChain’s blocklist protocol feature to freeze 4.4 billion GALA tokens within 45 minutes, mitigating the impact of the breach. Gala Games plans to repurchase the equivalent GALA tokens using the returned ETH and then burn them to ensure the security of the Gala ecosystem. They have also initiated a governance vote to decide whether the blocklisted tokens will be considered “burned” and removed from circulation. In addition, DWF Labs, a technology firm, purchased 28 million GALA tokens from the open market to stabilize the token’s value. Gala Games’ co-founders, Eric Schiermeyer and Wright Thurston, have filed lawsuits against each other, accusing misconduct and misappropriation of company assets. Schiermeyer alleges that Thurston and his investment entity unlawfully acquired $130 million worth of GALA tokens. Thurston countersues, claiming that Schiermeyer mismanaged Blockchain Game Partners and diverted millions of dollars for personal use. Both co-founders are seeking to be removed from their positions as directors of the company.
