Shiba Inu Freezes 4.6M BONE Post-Bridge Hack
- Shiba Inu team responded decisively to a security threat.
- Freezing 4.6 million BONE mitigated immediate risk.
- Potential long-term impacts on validator trust and ecosystem safety.
The Shiba Inu team froze 4.6 million BONE tokens following a breach on the Shibarium bridge where an attacker seized control, draining around $2.3 million in assets.
This incident underscores vulnerabilities in cross-chain systems, impacting market trust and token valuations, as seen in the corresponding decline in Shiba Inu’s price following the breach.
The Shiba Inu team froze 4.6 million BONE tokens following a breach involving the Shibarium bridge. This sophisticated exploit resulted in the attacker seizing control of validator keys and depleting approximately $2.3 million in ETH and SHIB assets.
The main participants include the Shiba Inu core developers and the sophisticated attacker who leveraged flash loan tactics. The attacker commandeered 10 of 12 Shibarium validator keys, although “K9 Finance” and “Unification” validators resisted compromise.
The breach drastically impacted both essential Shiba Inu validators and the broader market. Staking functions were paused, with remaining funds quickly secured in a hardware wallet under a robust multisig setup.
An estimated $2.3–2.4 million in assets disappeared from the cross-chain bridge, impacting affected assets such as 224.57 ETH and 92.6 billion SHIB. Developer Kaal Dhairya emphasized the sophisticated planning behind the operation.
Kaal Dhairya, Developer, Shiba Inu, “The attack was probably planned for months and described it as a ‘sophisticated’ flash loan operation exploiting privileged validator access” – source
Historically, similar attacks on cross-chain bridges often leverage flash loans combined with validator key compromises. The Shiba Inu team’s quick response highlights the vulnerabilities inherent in cross-chain transaction setups.
Regulatory and technological outcomes might hinge on how Shiba Inu addresses these challenges. Enhanced security measures may emerge, influenced by prior attacks on bridges such as Ronin and Harmony.
