Saga DAO Fan Club Loses $60,000 in Solana Tokens Due to Security Oversight

According to CoinDesk, Saga DAO, a community-run fan club for Solana's sellout mobile phone, lost over $60,000 in SOL tokens, which is 70% of its treasury, on Wednesday. The loss occurred due to a security oversight, as the funds were supposed to be securely held in a multisig wallet, where multiple parties would need to approve any transfer. However, the security feature was never activated, allowing one of the 12 signers to move the funds. The group sent 750 SOL tokens to an address controlled by one of its pseudonymous founders, zkRedDevil, who claims to have been the target of a remote hack on their PC. They also told CoinDesk they lost $35,000 of their own money in addition to the group's funds. Another of Saga DAO's pseudonymous founders, Ashen, accused zkRedDevil of pulling the heist themselves. The incident highlights the risks of operating in pseudonymous environments and has thrown Saga DAO's future into uncertainty. The fan club began as a Discord server for owners of Solana's exclusive Saga phone to discuss their phone's perks, such as free airdrops and NFTs. After securing 700 SOL by selling a pre-launch token, the group's founders accelerated efforts to establish formal policies and governance mechanisms to empower Saga phone owners. With the funds now gone, the group's leadership may follow. Ashen announced on Discord that he is launching an effort to depose any member of the group's 12-person council who voted to send the money to its peril. Despite Ashen's assertions, zkRedDevil maintains their innocence.