Recently, a private key leak at Hacken, a cybersecurity firm specializing in blockchain technology, caused a significant drop in $HAI token value, amounting to $5 million. This incident highlights vulnerabilities in cross-chain bridge security and has led to a temporary suspension of their operations.
Key Leak Triggers $HAI Minting
During a recent incident, a leak of Hacken’s private key caused unauthorized minting of $HAI tokens. Hacken's CEO Dyma Budorin announced the suspension of cross-chain bridges, stating, "BNB Chain and Ether are now onboard the $HAI contract which is under attack. All cross-chain bridges have been shut down. $HAI is the only valid version. ... This accident will not affect the long-term development of the project."
$HAI Drops 34.9% Following Leak
The breach led to an immediate 34.9% decrease in $HAI token value. Social media channels emphasize ongoing investigations and assure users about upcoming updates. This 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, prompt suspension helps minimize losses. The focus remains on legal compliance and resilience in token management.
The private key leak at Hacken has exposed serious risks in the security of cross-chain bridges, leading to a significant drop in $HAI token value. The company assures that this incident will not reflect on the project's long-term prospects.
