Particle.news
Download on the App Store

Wasabi Protocol Hit by $5 Million Multi-Chain Exploit

Investigators say a stolen admin key let the attacker upgrade contracts to drain funds.

Overview

  • Blockchain security firms reported more than $5 million stolen from Wasabi across Ethereum, Base, Berachain, and Blast in a month when DeFi hacks topped $600 million including the $292 million Kelp DAO theft.
  • Investigators said the thief used a privileged key on the Wasabi deployer wallet to push contract upgrades that allowed withdrawals from vaults.
  • Cyvers said the attacker took tokens such as WETH, USDC, PEPE, MOG, and others, then converted most of the haul into ETH and bridged the funds to Ethereum.
  • Wasabi told users to stop interacting with its contracts while it investigates, and Virtuals Protocol froze Wasabi-powered margin deposits as a precaution.
  • Blockaid warned that LP-share tokens issued by the affected vaults should be treated as compromised, since these receipts represent claims on pools that were altered by the attacker.