Shibarium Bridge Exploitation Halted â 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. ïżŒ
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. ïżŒ
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. ïżŒ Investigations are ongoing. Security firms Hexens, Seal 911, and PeckShield are collaborating to identify the breachâs root cause. ïżŒ
Interestingly, the team announced they will not press charges if the attacker returns the funds â and have even floated a bounty for cooperation. ïżŒ
Implications & What to Watch
âą 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.
âą 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.
âą 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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