Hacken Suspends Cross-Chain Bridges After Key Leak

A private key leak at Hacken, a blockchain cybersecurity firm, led to a $5 million crash in $HAI value.

The breach highlights vulnerabilities in cross-chain bridge security, causing significant $HAI token devaluation as Hacken initiated immediate containment measures.

Private Key Leak Triggers $HAI Token Minting

During a recent incident, Hacken’s private key leakage caused an unplanned minting of $HAI tokens. Hacken is a prominent cybersecurity company specializing in blockchain technology.

In response to the security breach, Hacken’s CEO Dyma Budorin announced suspension of cross-chain bridges. The company is committed to maintaining legal compliance for future operations. Budorin confirmed, “BNB Chain and Ether are now on board $HAI contract is under attack. All cross-chain bridges have been shut down. $HAI is the only valid version. … The accident would not affect the long-term development of the project.”

$HAI Drops 34.9% Following Security Breach

The breach led to an immediate 34.9% decrease in $HAI token value. Social media channels emphasized ongoing investigations and assured users about upcoming updates.

The incident reflects significant financial losses due to the token’s decline. The industry reaction stresses the need for robust security in DeFi bridge operations.

Lessons from Poly Network Hack Resurface

This event is reminiscent of previous exploits in protocols like Poly Network, where compromised keys allowed unauthorized minting. Hacken’s response aims to contain similar vulnerabilities.

Based on historical instances, damage control through prompt suspension helps minimize losses. The focus remains on legal compliance and resilience in token management.