Shibarium Bridge Exploitation Halted ā 4.6 Million BONE Frozen
Shibarium, the Layer-2 blockchain for Shiba Inu, recently thwarted a planned exploit on its bridge that involved 4.6 million BONE tokens. The attacker borrowed those tokens via flash loan, reportedly compromised validator keys and attempted to execute fraudulent transactions. ļæ¼
Fortunately, the Shibarium team managed to freeze the tokens before the exploit could fully succeed. Because the BONE tokens were delegated to Validator 1 and remain locked (due to unstaking delays), the team had just enough breathing room to prevent fund transfers. ļæ¼
In response, Shibarium suspended stake/unstake functionality temporarily and moved critical stake manager funds into a hardware wallet secured by a 6/9 multisig setup. ļæ¼ Investigations are ongoing. Security firms Hexens, Seal 911, and PeckShield are collaborating to identify the breachās root cause. ļæ¼
Interestingly, the team announced they will not press charges if the attacker returns the funds ā and have even floated a bounty for cooperation. ļæ¼
Implications & What to Watch
⢠Trust and User Confidence: Even though the exploit was prevented, this incident shows vulnerabilities remain, particularly around validator security. How transparently the team handles post-mortem reports will matter.
⢠Price Action for BONE: Market reaction may be volatile as holders assess risk. News of freezing funds may reduce immediate downward pressure, but skepticism could dampen longer-term sentiment.
⢠Governance & Security Strategy: Stake manager controls, validator access, and multisig arrangements are likely to come under closer scrutiny. Stronger protocols and audits may become prerequisites.
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