Initia halts blockchain after exploit reportedly drains over $2.6M
The blockchain suspended its layer-1 network and rollups after security researchers identified unauthorized token minting and millions in assets transferred to Ethereum.
The blockchain suspended its layer-1 network and rollups after security researchers identified unauthorized token minting and millions in assets transferred to Ethereum.
Initia halted its layer-1 blockchain and rollups after blockchain sleuths reported an exploit that allowed an attacker to mint tokens without authorization and drain more than $2.6 million in crypto assets.
The network was halted at 3:41 p.m. UTC on Friday following a security incident, Initia said in a post on X. The team said it was working with security researchers, validators and exchanges to determine the full extent of the impact.
DeFi platform D2 Finance later reported that the attacker exploited a vulnerability to mint 2 million AUSD tokens without sufficient backing. The attacker then used cross-chain transfers to withdraw approximately 1.4 million AUSD, 105 Ether (ETH) and 1.08 million USDC (USDC) to Ethereum.