[Update, 12:55 UTC, Sept. 25: This article was updated with Magic Edens statement identifying the affected protocol and its guidance for former users.]
A whitehat moved 3,832 non-fungible tokens from hundreds of wallets on Friday amid concerns about a vulnerability involving NFT marketplace Magic Eden.
NFT community member who goes by Cirrus on X flagged the activity on Friday, saying a single wallet moved 3,832 NFTs from hundreds of wallets. Cirrus said the transactions appeared as sales through Magic Eden and advised NFT holders to revoke permissions as a precaution.
Shortly afterward, Yuga Labs pseudonymous vice president of blockchain, 0xQuit, said the transfers were part of a white-hat operation. He said the NFTs held in the receiving wallet are safe and “will be returned once they are no longer at risk.”
The Yuga Labs executive has previously been involved in similar NFT rescue efforts. In June, 0xQuit helped recover 68 NFTs worth more than $500,000 after an exploit hit Flooring Protocol, with the assets later held for return to affected users.
Yuga Labs CEO Michael Figge said a vulnerability was discovered a few hours earlier and that the company would share more information soon.
Magic Eden links exploit to Limit Break protocol
Magic Eden said on X that the exploit involved Limit Breaks Payment Processor V2, an NFT trading protocol it stopped using in October 2024. The company said it closed its EVM marketplace in the first quarter of 2026.
“No live Magic Eden listings were impacted in this exploit,” the company said, adding that NFTs listed on its EVM marketplace from approximately February to October 2024 could be affected.
Magic Eden urged former users to revoke approvals for the contract on Ethereum, Polygon and Base, noting that this would not return tokens already moved. It said it was contacting Limit Break, the protocols owner and maintainer, about further mitigations, including efforts to pause transfers.
Cointelegraph contacted Magic Eden for comment, but had not received a response by publication.