The Normie memecoin suffered a devastating hack attack, resulting in a staggering loss of over 99% of its value in a single day. This unprecedented collapse left investors reeling, with one unfortunate individual witnessing their $1.16 million investment dwindle to a mere $150. The memecoin market, which had been experiencing significant gains earlier in the month, was left reeling from the sudden and catastrophic blow.

According to on-chain data provider Lookonchain, the investor had purchased 11.23 million NORMIE tokens at $0.1035 each between March 25 and April 9, only to see the value of these assets plummet to below $150. The investor's failure to sell any of the tokens since the purchase resulted in a substantial financial loss. The team behind Normie has since initiated negotiations with the hacker to recover 90% of the stolen funds, amounting to a substantial $41.7 million.

The attack, which exploited a smart contract vulnerability, caused a dramatic $41.7 million drop in the token's market value within three hours. Despite the token's price dropping 96% since the attack, the agreement with the hacker includes the return of 90% of the stolen NORMIE tokens. The recovery plan involves using the returned funds and an additional $2.3 million from the team's development wallet to launch a new token, aimed at compensating NORMIE investors for their losses.

The hacker's stipulation that no retaliation would occur as part of this agreement highlights the sensitive nature of negotiations following such attacks. The Normie team has acknowledged the need for a restart, regaining control of their main X accounts and securing the funds from the hacker. The hacker's insistence on a token relaunch before returning the stolen funds adds another layer of complexity to the recovery process.

Launched in March 2024, NORMIE has approximately 72,000 holders affected by the smart contract vulnerability first identified in March. The significant number of affected users underscores the impact of the vulnerability and the urgent need for effective recovery measures. As the crypto market continues to evolve, this incident serves as a stark reminder of the risks and volatility inherent in the space.

Investors are advised to exercise caution and conduct thorough research before investing in cryptocurrencies. The information contained in this article does not constitute investment advice, and investors should be aware that cryptocurrencies carry high volatility and therefore risk.