A suspected exploit on the Hedera network has moved more than $5.8 million in assets to Ethereum, according to blockchain security researchers. The incident pushed Hedera's native token HBAR down over 2% to around $0.069.
How the exploit unfolded
Blockchain security researcher Specter first reported that the suspected attacker had bridged over $3.7 million worth of assets from Hedera to Ethereum using LayerZero. The funds were then swapped from Wrapped Bitcoin (WBTC) into Ether (ETH). Specter shared two wallet addresses believed to be linked to the incident.
PeckShield, another security firm, later confirmed that approximately $5.25 million had been transferred from the Hedera mainnet to Ethereum. At the time of its analysis, the wallet held around 2,360 ETH (worth about $4.25 million) and 15.58 WBTC (worth about $1 million). PeckShield noted that the wallet had originally been funded with 1 ETH from Tornado Cash, though this does not identify the attacker.
Market reaction and ongoing investigation
HBAR fell more than 2% as news of the suspected exploit spread, trading near $0.069 according to crypto.news data. The wallet's estimated value later increased to roughly $5.8 million, with holdings of about 3,203 ETH (nearly 80% of the portfolio) and some WBTC.
Neither Specter nor PeckShield has identified the party responsible, and no official loss estimate has been released. The incident remains under investigation, with researchers monitoring the addresses for further activity. The Hedera team has not yet issued an official statement.
This exploit follows other recent security incidents in crypto, including a $6 million exploit targeting Summer.fi detected by Blockaid, and the permanent shutdown of Ctrl Wallet after a security breach affecting some Cardano wallets.