The founder of DeFiance Capital, a decentralized Finance (DeFi) and blockchain gaming venture fund company, Arthur Cheong, has lost 59 NFTs worth $1.7 million to hacker.

According to an alert message from security firm PeckShield, Cheong’s hot wallet was compromised on Tuesday. The NFTs stolen from his hot wallet includes 33 Second Selfs, 17 Azukis, 5 CloneXs, 2 Hedgies, and 2 Tsubasa NFTs.

Cheong said the “likely root cause” for the exploit is a spear-phishing email that was doctored to appear like an email from one of DeFiance Capital’s portfolio companies.

“Was being careless on this one since it comes from 2 seemingly legitimate sources. Once I open the file then I see the images below and then it proceed to the normal PDF document, didn’t suspect what’s wrong back then,” he tweeted.

In the last 24 hours, bitcoin has been up by 5.0%, with a current price of $42,947.59 as of the time of writing this. Within 24 hours, bitcoin experienced a $40,842.45 low and $43,079.72 high. The trading volume of bitcoin in the last 24 hours is $29,871,718,756. The current market capitalization of bitcoin is $815,607,923,528. Currently, $18.98M bitcoins are in circulation.

Stats and Image from Coin Gecko

He believes his hot wallet was easily hit because of his frequent NFT trading on his smartphone. Before regularly trading NFTs, he said he stuck with only using hardware wallet on PC.

“Hot wallet on mobile phone is indeed not safe enough,” he added.