The Sandbox rallies as a suspected mint attack adds 500M tokens

A potential violation of security surrounding The Sandbox’s SAND token has caused a stir among traders. According to on-chain researchers, the perpetrators could be behind the minting of several hundred million in SAND tokens. On August 22, 2026, South Korean exchange Upbit cautioned traders to treat SAND with “special caution” due to indications of problems with security and potential fluctuations in prices.

The Sandbox still managed to print green indexes. SAND price surged by more than 19% over the last 7 days. Its 24-hour trading volume stood at $87 million. However, the biggest concern is supply. Lookonchain reported that more than 500 million new SAND were created during the incident. That is equivalent to at least 16.7% of the token’s maximum 3 billion supply.

BaseScan snapshot taken before the incident shows that the Base contract had a total supply of just 14.699 million SAND. This means that the new mint was more than 34 times the previous total supply of the Base chain. When new tokens are created without market demand, the existing token holders can be diluted. Especially if the newly minted tokens went to exchanges.

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